Hello,
When looking at my 2021 estimated payments the 100% amount due on line 4 of the Estimated Tax Payment options is thousands of dollars less than my tax on line 24 of my 1040.
After doing some research, line 24 on 1040 is being reduced by line 26 from Schedule SE-T the maximum deferral of SE tax payments. It uses this amount to reduce my 2021 tax estimated payments regardless of whether I am taking the tax payment deferral.
If you take the SE tax deferral it goes to line 12e of schedule 3.
The instructions for 2021 Form 1040ES instruction for figuring your 2020 tax, page 8 - bullet #4, does not state that 2020 taxes can be reduced by line 12e of schedule 3 when determining your 2021 estimated payments.
I do not want to be penalized for underpaying my tax estimates for 2021.
Is this an error in the software?
