TREASURY I BONDS

[heneson]

Referencing the previous submission just made minutes ago,  we have redeemed Treasury I Bonds in December 2022 that matured in October 2022 and don't know if we have to send a check for taxes on the interest before the end of this year to avoid penalties, or just send our full taxpayment for 2022 when we file our taxes on Spring 2023

[Mike9241]

There will be no federal penalties for not paying in enough taxes during the year if federal withholding and

1. timely estimated tax payments equal or exceed 90% of your 2022 tax or
2. timely estimated tax payments equal or exceed 100% of your 2021 tax (110% if your 2021 adjusted gross income was more than $150K) or
3. the balance due after subtracting federal taxes withheld from 90% of your 2022 tax is less than $1,000 or
4. your total federal taxes are less than $1,000

[heneson]

Thank you so much for your speedy replies.

Just to make sure we are on the same page;

We have not made any estimated tax payments this year due to our Fed Tax withholdings being based on salaries alone. (We didn't know the Treasury I bonds were maturing this year until this month and all of the interest from these bonds must be reported for year they matured so we redeemed them.)

I think scenario #2 from your note is the only one that is applicable in our case since the amount of Federal witholding taxes deducted from our salaries during 2022 ($11,000)  amounts to ~150% of our total 2021 Federal taxes owed on line 24 of 2021/1040 form ($7,300) which would not place us in a position to owe any penalties.

Have I done this correctly?

[NCperson]

@heneson - easier and more secure to just pay at the IRS website 

https://directpay.irs.gov/directpay/payment?execution=e1s1