How did the letter correct the penalty? We can’t see your return.
My estimated taxes for 2024 were calculated by Turbo Tax. I paid what Turbo Taxes told me to pay. Now the IRS is penalizing me for $291.
did you pay ES quarterly and on time? and did you pay ES for 2024 based on 100% of 2023 tax (110% if AGI > 150k) or 90% of 2024 tax?
TT 2023 would have generated ES vouchers based on 2023 tax by default and assumes your 2024 withholding will be the same as 2023; generally if you paid those on time you should not have a penalty unless some sort of adjustment to your 2023 tax happened which TT didn't know about, or you had less withholding. But if you went thru the process in TT (Other Tax Situations / Form W4 and Estimated Tax) to estimate your income/tax for 2024 and pay 90% of 2024 tax due then it's possible the estimate changed. IRS recalculates the penalty based on 2023/4 info and ES 2024 payments in their systems. If your withholding was not at the level expected in the TT calculation this could also result in underpayment.
For the ES payments you can check your account at irs.gov to confirm the amounts and timings lined up with what was it TT for your filing.
2023 TurboTax based the 2024 estimated tax calculation on your 2023 tax liability, AGI and the assumption that your tax withholding in 2024 will be the same as in 2023. If your tax withholding in 2024 ended up being lower, the 2024 estimated tax payments determined by 2023 TurboTax will have been too low unless you indicated to 2023 TurboTax that your 2024 tax withholding would be the lower amount.
When calculating the quarterly estimated tax payments, 2023 TurboTax took, depending on AGI, 100% or 110% of your 2023 tax lability, subtracted the assumed or indicated withholding amount, then divided by 4.