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Level 2
posted Apr 9, 2022 6:52:12 PM

why do i need to pay estimated tax for 2022 when i get 2021 refund?

Just printed out the federal tax, I'm getting a federal refund of less than $500 for 2021.  Why is TT generating estimated payment vouchers for 2022?

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3 Replies
Expert Alumni
Apr 12, 2022 7:23:44 PM

Per Expert @AnetteB6:

 

"Estimated payment vouchers are printed with your return when you have a balance due or a situation where TurboTax thinks it would be to your benefit to make the estimated payments throughout the year.  These estimated payment vouchers are not included when your return is filed, and you are not required to make the payments.  

 

Even though you are getting a refund for your 2021 tax return, the refund may be based on a refundable credit instead of having taxes withheld.  TurboTax took that into account and determined that it may be beneficial for you to make estimated payments for your 2021 tax return."

Level 1
Apr 12, 2022 7:30:03 PM

You do not NEED to pay estimated taxes based upon your situation.  You may want to if you expect to have a significant increase in income for which you are not withholding tax, but if your situation isn't materially changing, you don't need to.  

Level 2
Apr 12, 2022 7:36:53 PM

You don't need to pay unless you expect your situation to change dramatically (I mean if you will make much more than this year with the same tax payment over the year).

They just want your money so badly 🙂

So you can ignore it.

Enjoy it 🙂