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Level 2
Apr 1, 2026 6:59 PM UTC
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Penalty calculation

how to fill 'Long-term capital gains and losses' screen for penalty recalculation?
I had stock capital gain $30000 for 2025 and $10000 Capital Loss Carryover from 2024. The net capital gain for 2025 was $20000. My actual gain for 1/1/2025 to 3/31/2025 was $ 8000. Should I fill amount $8000? Or fill amount -$2000(8000- 10000) for 1/1/2025 to 3/31/2025? 
Since I had $10,000 carry over from 2024, I didn't pay estimated tax in early 2025 when I got gain $8,000. If Turbo Tax subtracts $10,000 at end of year, I have to pay penalty for the gain I had at early 2025. It doesn't make a sense for me.
What is the right way to fill that screen?
Thank you.

MaryK4
MaryK4Answer
Alumni - Intuit
Apr 1, 2026 10:16 PM UTC

For the 2025 Form 2210 (Annualized Income Installment Method) recalculation, you should enter -$2,000 for the first period (1/1/2025 to 3/31/2025).  

Per IRS Publication 550 and Schedule D instructions, a capital loss carryover from a prior year is treated as if it were incurred in the first month of the current tax year. (See IRC § 1212(b)(1))

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1 reply

MaryK4
MaryK4Answer
Alumni - Intuit
Apr 1, 2026 10:16 PM UTC

For the 2025 Form 2210 (Annualized Income Installment Method) recalculation, you should enter -$2,000 for the first period (1/1/2025 to 3/31/2025).  

Per IRS Publication 550 and Schedule D instructions, a capital loss carryover from a prior year is treated as if it were incurred in the first month of the current tax year. (See IRC § 1212(b)(1))

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"