For the 1040-es, your total tax payments must add up to the lesser of these two amounts:
- 90 percent of the tax you estimated that you will owe for the current year, or
- 100 percent of the tax you owed for last year
Can I use a really small AGI on the 1040-ES so that my quarterly tax payments are low?
In doing that, I'm trying to avoid high quarterly payments that I won't be able to afford if my business is having a very slow season so that I don't get hit with the quarterly underpayment penalty.
