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Critter-3 · ‎August 25, 2020

At that tax bracket, income taxes are at 22% and estimated taxes at 15%... why does it say estimated federal tax due as 12k? You are forgetting we have a graduated tax bracket system so although your income may have hit the 22% bracket it is not all taxed at 22%.

if my math is correct ... it is not ... here is an educated guess ...

SE tax ... 63K x 15.3% = 9639

Fed tax ... 63K - 4820 (1/2 se tax ) = 58,180 - 12,400= 45,780 - QBI deduction (approximate) $12,600 = $33,180 ... tax from 2019 table (could not find a 2020 table ... see tax brackets below) is $3,787

Total estimated tax 3787 + 9639 = 13,426 ( may be other things I didn't consider).

Also, do you have an estimator for state taxes? No ... your state may have one... check their website.

Why are you not using the program's estimator instead ( FYI ... in the future use the downloaded version if you can ... use the Deluxe and save a few bucks ... then you can what if all year long) ...

What are estimated taxes?

https://ttlc.intuit.com/replies/3301588

Do I need to make estimated tax payments to the IRS?

PAYING ESTIMATES
For SE self employment tax - if you have a net profit (after expenses) of $400 or more you will pay 15.3% for 2015  SE Tax on 92.35% of your net profit in addition to your regular income tax on it. So if you have other income like W2 income your extra business income might put you into a higher tax bracket.

You must make quarterly estimated tax payments for the current tax year (or next year) if both of the following apply:
- 1. You expect to owe at least $1,000 in tax for the current tax year, after subtracting your withholding and credits.

- 2. You expect your withholding and credits to be less than the smaller of:
    90% of the tax to be shown on your current year’s tax return, or
  100% of the tax shown on your prior year’s tax return. (Your prior year tax return must cover all 12 months.)

Get your taxes done using TurboTax

What are estimated taxes?

Do I need to make estimated tax payments to the IRS?

How do I make estimated tax payments?

Can TurboTax calculate next year's federal estimated taxes?

Can TurboTax calculate the estimated payments for next year's state taxes?