No, you are not "on the hook" to pay estimated quarterly payments if you've paid them in the past. Taxes are pay-as-you-go. This means that you need to pay most of your tax during the quarter, as you receive income, rather than paying at the end of the year.
- Estimated tax payments are generally due approximately 15 days after quarter end so you could calculate the amount of net income you need to pay for that quarter. If you have a loss in any quarter, you wouldn't send in an estimated tax payment.
At tax time, to reduce or possibly even eliminate your underpayment penalty, search for annualizing your tax (use this exact phrase) inside TurboTax. This will take you to the underpayment penalty section and we'll take you through the steps to possibly reduce your underpayment penalty. (If you don’t see Jump to annualizing your tax in the search results, make sure you’re in your return and not on the Tax Home page.).
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