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Level 2
posted Mar 14, 2022 9:37:45 PM

Can TurboTax calculate quarterly AGIs for the Annualized Income Method?

I unexpectedly received a large amount of income in 12/2021, and is charged with a large underpayment tax penalty.  I was told to use “annualize income” to hopefully reduce or eliminate the penalty.  I started the annualized income method in my TurboTax Deluxe, and it asked me to enter AGI for each quarter (Q1 is Jan to Mar, Q2 is Apr-May, Q3 is Jun-Aug, Q4 is Sept-Dec).  It will take a lot of work to calculate the AGIs manually.  I receive dividend incomes as well as exempt interest dividends throughout the year from various investment funds.  I also receive social security income, which requires worksheets to decide how much is taxable depending on the quarter.  Is there a way to enter these numbers so that TurboTax will do the calculations for me?

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3 Replies
Level 15
Mar 14, 2022 10:17:40 PM

no that's something you have to calculate.

 

Level 2
Mar 15, 2022 6:48:11 AM

Thank you for letting me know.  I'm disappointed that TT does not do more to help.

New Member
Apr 1, 2024 4:11:13 PM

I agree, Turbo tax has all the information to calculate quarterly AGI, it is ridiculous that this needs to be calculated manually!