This year (2024) I surrendered an annuity. It was a one time event. I had taxes withheld but not enough. Now my estimated tax payments (Form 1040-ES) reflect the additional income I know I will not have this year, next year my taxes (income) will not be as high. What can I do about that? If I make the payments indicated I believe the total will surpass what I owe by a good margin. Can I make estimated payments less than indicated on the forms generated by turbo tax?
My total income this year (2025) should approximate my income in 2024 minus the gains from the surrendered annuity. Can I subtract the gains from last year's income (2024) and get an estimate of what the payments should be for tax year 2025 and pay that amount?
