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What is the best way to prevent underpayment penalty when I sell lots of stock?
If I sell stock and have a large gain ($80,000 of gain) when my total income is normally around $100K, how do I prevent underpayment penalties?
I have withholdings on my $50K pension but would have to ratchet them up a lot to cover this kind of gain. Can I just take 15% of the gain and pay that in estimated taxes the same quarter that I sold the stock?
‎April 9, 2025
2:19 PM