Estimated Taxes

Forum|Forum|4 years ago
March 9, 2022
3 replies
27 views

If I get an Extension how do I find out what my Estimated taxes are for April, June, and September?

JohnB5677

Level 15

Estimated taxes are exactly that, your best guess. You can calculate your anticipated 2022 taxes in TurboTax even without having the 2021 tax return done.

If you're in the Online version of TurboTax

On the menu bar on the left that shows.
1. My Info
2. Federal
3. State
4. Review
5. File
Select Tax Tools
On the drop-down select
There will be 4 green boxes
Select Tax Topics
Type Estimated Taxes
This will start you with the interview.

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Nan2C

Level 5

COPIED FROM IRS WEBSITE irs.gov form 1040ES

General Rule

In most cases, you must pay estimated tax for 2022 if both of the following apply.

1. You expect to owe at least $1,000 in tax for 2022, after subtracting your withholding and refundable credits.

2. You expect your withholding and refundable credits to be less than the smaller of:

or a. 90% of the tax to be shown on your 2022 tax return,

b. 100% of the tax shown on your 2021 tax return. Your 2021 tax return must cover all 12 months.

If you have a general figure of what you need to pay for 2021 you are all set!

ErnieS0

Level 15

There are two parts of estimated taxes — the tax and the penalty.

You can avoid the underpayment tax penalty if you pay:

90% of your 2021 tax, or
100% of your 2020 tax. Your 2020 tax return must cover a 12-month period.

The tax payments must also match your income stream, so you could still be penalized if you paid a lump sum with your extension.

For 2022, you can estimate your income as you go along and pay the difference in January 2023. You can also file you tax return sooner than October. If you do that, then you will know what 100% of your 2021 is.

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