Why doesn’t TurboTax business figure out my failure to pay estimated taxes fine?
I am the trustee of a trust. This is the first year it had capital gains. I was surprised that I needed pay taxes on those gains let alone make estimated tax payments. Even more surprised that TurboTax business did say anything about the fine.
Eric
032857
3 Replies
RobertB4444
Expert Alumni
Apr 9, 2025 1:10:55 PM
It is your first year. TurboTax calculates a fine based on the prior year's tax return.
It’s the first year the trust has had to pay taxes, not the first year filing a return.
RobertB4444
Expert Alumni
Apr 9, 2025 1:30:18 PM
The system may have decided that it was better that the IRS figure the penalty in the first year? I'm not sure why it wouldn't recommend the penalty as part of the taxes due. But since you filed on time the late payment penalty should not be any higher today than it would have been when you filed.