Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 2
posted Apr 1, 2022 1:44:28 PM

my income will be significantly less in 2022, how can I calculate correct estimated taxes

My income will be significantly less in 2022 than 2021, due to a large capital gain in 2021.  But I am also self employed so I have to pay estimated taxes.  How can I adjust the estimated taxes to reflect the lower income in 2022?  It is giving me estimated taxes based on 2021 income/capital gain which will be way too high.

0 1 242
1 Replies
Level 15
Apr 1, 2022 1:51:29 PM

go to Personal 
Other Tax Situations
Other Tax Forms
Form W-4 and Estimated Taxes - Click the Start or Update button

 

Say No to W4. When you get to the W4 and Estimated Taxes section, say you want to adjust your income to go though all the screens.

 

Or what I do is switch to Forms and open the Tax Est worksheet and play around with the settings for estimates.  You can even open each estimated form and put in the amount you want.