Retirement tax questions

You would need to pay the tax for income received in December by January 15 of 2025. That is the due date of tax for income received in the 4th quarter of 2024. 

If you owe more than $1,000 when you file your federal tax return, you will receive a penalty for late payment of tax under most circumstances, unless you paid the tax due before January 15 of the tax filing season. If you work through the underpayment penalties section in TurboTax I mentioned in the previous post, you will have an opportunity to enter your income earned by quarter that may reduce the penalty, as in your case you were apparently only late for the 4th quarter.     

The IRS will simply take your income for the whole year and divide it by four to determine your quarterly tax due. Since your late payment was only in the 4th quarter, their calculation will be higher than it should be. That is why you can reduce your penalty by completing the worksheet in TurboTax.