rjs
Level 15
Level 15

Investors & landlords

If you sold the property in April you were supposed to have made the estimated tax payment by June 15. You can still make the payment now, but you might incur some penalties and interest because the payment is late.


Withholding is treated differently than estimate tax payments. Withholding is treated as though you paid it evenly throughout the year, even if you pay it all in December. So if you have an income source that you can have extra tax withheld from to cover part or all of the tax on the sale, instead of making a late estimated tax payment, that could reduce or eliminate any penalties and interest. But with less than two months left in the year it might be difficult to find a way to produce enough withholding.