Hello Baldietax,
Thank you so much and I very much appreciate your very detailed response and guidance.
Just to summarize and make sure I got it right..
- I checked the worksheet, TT 2024 calculated the 2025 ES estimate amounts based on my 100% 2024 taxes (this amount was minus the pension tax withholdings).
- On my 1Q payment, I was short couple hundred $, so I will incur some penalty, but I will make up the difference and pay full 50% or more on my 2Q voucher payment.
- So if I keep up with the full ES payment for the remainder of the year, I should only incur the small penalty for 1Q. Which means, even if I miss the ES payments, the maximum penalty would be based on the unpaid ES amounts for the year and no penalty would be assed for all the cap gain I received in 2025.
- Per above, I should not incur any penalty for the large capital gain that I received in April and I can pay that additional balance of $60k taxes when I file the return in April '26. I suppose this applies regardless of the amount of cap gain I received. I was just concerned that I need to pay the estimated 2025 taxes on that amount. Again, this is because TT calculated my 2025 ES payments based on 100% of my 2024 taxes. The other option was to make estimated 90% for ES, but that would not be in my favor since my 2025 tax liability is much more than my 2024 taxes and my ES payments would had been much higher.
If you would please ack my above understanding is correct, I would be very appreciative.
Thank you again!
