Does Turbotax take care of setting up payment for Federal and California owed tax?

[nestlen]

I am owning Federal $34k and California $7k this year due to a whole sale of RSU last year. I would like to pay it later if possible, according to IRS page I can pay it off within 6 months with some penalty.

Does the same apply for California?

Does Turbotax offer any option to take care of the application?

[PattiF · Accepted solution]

TurboTax can help you set up a payment plan online. 

Different ways to apply for an IRS installment plan

• File for an IRS installment plan with TurboTax
• Apply online on the IRS website
• Fill out Form 9465 send it to the IRS
• Call the IRS at 1-800-829-1040

For more information about what to do when you owe, please see this TurboTax Help article.

You can set up a payment plan with California. Here is a link with more information and a way to apply online.

[nestlen]

do I stay need to make payment by 4/18 if the request is in-progress but not approved before that?

[PattiF]

The IRS says that on the date you chose, you can send the first payment if you haven't heard from the IRS about your request.

From the IRS instructions for Form 9465:

You can choose the day of each month your payment is due. This can be on or after the 1st of the month, but no later than the 28th of the month. For example, if your rent or mortgage payment is due on the 1st of the month, you may want to make your installment payments on the 15th. When we approve your request, we will tell you the month and day that your first payment is due.

If we haven’t replied by the date you chose for your first payment, you can send the first payment to the Internal Revenue Service Center at the address shown earlier that applies to you. See Line 8, earlier, for details on what to write on your payment.

@nestlen