If you are basing the estimate tax for 2025 on a test return in TurboTax 2024, the result should be fairly accurate. You have until April 15 to pay the first installment, so you may consider waiting to update the test return based on the actual closing documents for the sale. Unless you are prepared to loan money to the IRS, overpaying estimated taxes is not necessary.
In general, you may owe an underpayment penalty for 2025 if the total of your withholding and timely estimated tax payments didn't equal at least the smaller of:
- 90% of your 2025 tax, or
- 100% of your 2024 tax. Your 2024 tax return must cover a 12-month period.
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