Understanding Federal Estimate Tax Payment (2024)

• TurboTax Premier Online

‎February 26, 20237:22 AM

Just to confirm, leeloo is correct. If you have already increased your withholding amounts, then you do not need to make any estimated payments unless something else changes in your situation throughout the year. Additionally, the vouchers were created for your convenience, but nothing has been sent to the IRS with regard to estimated payment vouchers for 2023.

To learn more, take a look at the following TurboTax help article:

Why did 1040-ES estimated tax vouchers print out? Do I need them?

@IamTDR

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Just to confirm, leeloo is correct. If you have already increased your withholding amounts, then you do not need to make any estimated payments unless something else changes in your situation throughout the year. Additionally, the vouchers were created for your convenience, but nothing has been sent to the IRS with regard to estimated payment vouchers for 2023.

To learn more, take a look at the following TurboTax help article:

Why did 1040-ES estimated tax vouchers print out? Do I need them?

@IamTDR

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

The answer would be on your return. Does the $3,000 include any amount on Line 38?

here are the federal rules to avoid penalties

There will be no federal penalties for not prepaying enough taxes for 2023 if withholding and
a) timely estimated tax payments equal or exceed 90% of your 2023 tax or
b) timely estimated tax payments equal or exceed 100% of your 2022 tax (110% if your 2022 adjusted gross income was more than $150K) or
c) the balance due after subtracting taxes withheld from 90% of your 2023 tax is less than $1,000 or
d) your total taxes are less than $1,000

state laws differ
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the reason for the 2023 estimates - my guess is that your adjusted gross income went over $150,000 for 2022 while your withholding & estimates exceeded the safe harbor requirement (b) above for 2022 because it was based on 100% of 2021 taxes but now you must reach the 110% threhhold.

In regards to footnote A), my taxes owned were 88% of my taxes paid in 2022. So it seems I'm subject to an IRS penalty. Reading it seems like the typical penalty is 0.05%. Confused if that's on the total amount owed this tax year. Otherwise not sure how that would be calculated as taxes withheld bi-weekly via our paycheck.

Tax year 2022 my spouse and I both received unexpected promotions.