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Level 3
February 17, 2026
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Why is 4th Quarter Estimated Payment counts toward state income tax in Schedule E

  • February 17, 2026
  • 2 replies
  • 71 views

In January 2025, I made a 4th quarter estimated payment for my 2024 state tax return. I noticed that for my 2025 federal tax return, TurboTax included this amount in line 5a (state and local income taxes) of the itemized deduction (Schedule E). Is this correct? Wouldn't this be a double credit since I have already reported this amount in my 2024 state tax return?

    Best answer by VolvoGirl

    Expert Reviewed

    Schedule E?   You mean Schedule A for Itemized Deductions?   Yes any state payments made in 2025 including the 4th quarter estimate for 2024 made in January 2025 are deductible on your 2025 federal return.   It would not have been deductible on your 2024 Federal return, just a credit on the 2024 State return.

    2 replies

    VolvoGirl
    VolvoGirlAnswer
    Level 15
    February 17, 2026

    Expert Reviewed

    Schedule E?   You mean Schedule A for Itemized Deductions?   Yes any state payments made in 2025 including the 4th quarter estimate for 2024 made in January 2025 are deductible on your 2025 federal return.   It would not have been deductible on your 2024 Federal return, just a credit on the 2024 State return.

    mdktech24Author
    Level 3
    February 17, 2026

    Oops. Yes, I meant Schedule A.

     

    Thank you for your quick reply.