Page 19 - Tax Withholding Estimator FAQ's
P. 19

Where do I enter estimated

        tax payments?



      -   For income such as dividends, int erest ,
          dist ribut ions from an IRA (not  Rot h IRAs),
          401(k) or a t rust , or ot her form of
          specialized income:
      -   Select the checkbox that reads ?Had
          withholding or made estimated payments
          for income such as dividends, interest,
          distributions from an IRA (not Roth IRAs),
          401(k) or a trust, or other form of specialized
          income? on Step 1 and then enter the
          estimated tax payments in the input box on
          Step 2. Use this to account for estimated
          payments that have already been paid.
      -   For self-employment  income:                              Where do I input capital
      -   If you selected Self-Employment Income on                 gains and losses
          Step 1, there will be a prompt on Step 2
          under Self-Employment Income field to                        -   You can enter an estimate of capital
          enter ?Estimated federal income tax you                          gains by checking the box on Step 1
          paid toward self-employment income.? Use
          this to account for estimated payments that                      that says ?Receive unearned income
          have already been paid.                                          such as dividends, interest,
                                                                           annuities, alimony, or a distribution

        Where do I account for                                             from an IRA (not Roth IRAs), 401(k)
                                                                           or a trust.?
        my IRA distributions?                                          -   You will then be given an

                                                                           opportunity on Step 2 to enter the
        Select the checkbox that                                           amount you expect.

                                                                       -   Note, however, that the Tax
        reads ?Receive unearned                                            Withholding Estimator does not

        income such as dividends,                                          currently take into account any
                                                                           lower tax rates that your capital
        interest, annuities, alimony,                                      gains may benefit from, but it will


        or a distribution from an IRA                                      ensure that enough tax is withheld
                                                                           to more than cover that income.
        (not Roth IRAs), 401(k) or a

        trust? on Step 1 and then
                                                                    /!\ More informat ion
        enter the amount for IRA                                        -   For more information on federal taxes

        distributions in the input box                                      please visit IRS.gov. /!\

        on Step 2.
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