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2019 I only had normal income w2 tax.
2020 I started messing with stock market and will owe 20k in taxes.
I checked my 2019 taxes payed and my 2020 taxes payed.
The taxes I payed in 2020 were more than the taxes I owed in 2019.
This means I won't have a penalty when I file 2020 this month. My state has the same 100% rule.
Let me know if this is wrong.
So if that's all good I want to clarify how to go from here.
I have a bad first quarter in the market and lose money. I think this means I don't make quarterly payment April 15. Then I have a really good 2nd quarter that will blow out last year so I need to make quarterlies.
Do I take that tax I'm going to owe and spread it out over the remaining 3 quarters or pay it all 2nd quarter and then don't make payments 3rd and 4th quarter?
Not sure if this question requires input from a tax professional. Hoping this question is general enough that people that do this quarterly dance every year know the deal
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