Is there a problem with the 2020 TT calculation for 2021 Estimated Tax Payments?
Using the Estimated Tax Payment Options worksheet, I select the 4th box: 100/110% of 2020 tax. TT calculates an amount that is neither 100/110% of 1040 line 24 Total Tax. In fact it’s an amount that doesn’t fit any percent of line 24.
Looking back at 2019, I find that using the same worksheet and selecting the same option, TT does calculate correctly the 100/110% of 1040 line 16 Total Tax.
How is 2020 TT calculating the Estimated Tax Payment amount? I know I can override this number but usually overriding a TT calculated amount is not a good thing to do.
I have installed the latest TT update so that’s not an issue.
Anyone have an understanding of this or seeing the same problem? (I’d advise you to check because I wouldn’t have normally and wouldn’t have seen it was wrong until filing 2021 and probably an IRS penalty for underpaying.)
