We work full time & started receiving social security, of which 85% will be taxed. And we received unemployment income nothing withheld. How do we avoid penalties?

[gbusch]

Do we have to wait until we file through Turbo Tax year & pay the penalty before a solution is presented?

[VolvoGirl · Accepted solution]

If you think your withholding won't be enough to cover the tax on all your income then send in an extra payment now.

Here are the 1040ES instructions and blank forms (where to mail is on page 4)

http://www.irs.gov/pub/irs-pdf/f1040es.pdf

Or pay directly on the IRS website.  Payment options for paying your Federal income tax…..

https://www.irs.gov/Payments

[xmasbaby0]

Unemployment compensation is taxable on your federal return.  Enter your 1099G for unemployment in Federal>Wages and Income>Unemployment

You might need to get your 1099G from the state’s unemployment site.

STATES THAT TAX UNEMPLOYMENT BENEFITS

AZ, AR, CO, CT, DE, DC, GA, HI, ID, IL, IN, IA, KS, KY, LA, MA, ME, MD, MI, MN, MS, MO, NB, NM, NY,NC, ND, OH, OK, OR, RI, SC, UT, VT, WV, WI

Unemployment compensation is taxable on your federal return.  Enter your 1099G for unemployment in Federal>Wages and Income>Unemployment.  You might need to get your 1099G from the state’s unemployment site.

STATES THAT DO NOT  TAX UNEMPLOYMENT BENEFITS on the state return

AK, CA, FL, MT, NH, NJ, NV ,PA, SD, TN, TX, VA, WA, WY

[fanfare]

there is one more Estimated Tax quarter.

The payment is due by Jan 15, 2021.

If you think you are short you can pay as much of your tax as you can afford now using voucher  form 1040-ES, and the rest on April 15th.

That's all you can do at this point.

be sure tor write SSN and "For tax year 2020" on your check

[gbusch]

This worked.   I appreciate your help.