The following will help you determine your estimated tax payment.
First, you must track your expenses as well because your tax will be on the net profit.
For self-employment net profit keep in mind that there are two parts to the tax.
- Self-employment tax (net profit x .9235 x .153 = SE tax)
- Personal Income tax (based on the rate at which your combined taxable income from all sources falls)
- Depends on filing status, taxable income amount from all sources (for the entire year) and anticipated itemized deductions if applicable or the standard deduction
- Use the Tax Rate Schedules in the Instructions Form 1040-ES to estimate your tax rate
Penalties are based on balance due, if you believe you have a refund then there would be no need for estimated tax payment for the last quarter of 2021.
As far as the sale of the property, the rate will be determined based on how long you owned/held the property. It it was held long term and it was not used as business property then the rate will be calculated using the capital gains tax rates, separately from your tax rate on all other income such as your wages.
A capital gain rate of 15% applies if your taxable income is more than $40,400 but less than or equal to $445,850 for single; more than $80,800 but less than or equal to $501,600 for married filing jointly or qualifying widow(er); more than $54,100 but less than or equal to $473,750 for head of household or more than $40,400 but less than or equal to $250,800 for married filing separately.
However, a net capital gain tax rate of 20% applies to the extent that your taxable income exceeds the thresholds set for the 15% capital gain rate.
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