Recording income tax in my current year's spending

RNeisser

I don't get this option when I click on the Tax: Fed category to record tax payments for the past year.

volvogirl

Maybe it has to be before April 15 to get that question?

RNeisser

Interesting. I paid the tax in March but don't remember getting the prompt.

volvogirl

Oh maybe it's the tax category. To check the tax line assignment open the Category list by either clicking on the Category Icon or go to Tools-Category List or Ctrl+Shift+C.  Then select the category and right click on it to Edit it.  Click on the Tax Reporting Tab and check the box for Tax related and pick a form or schedule. But i don't know if you can find one for a federal tax due payment since it's not deductible or an estimated payment.

Why do you want that question to come up? It shouldn't make a difference for the final tax due payment. It's when you actually paid it.

Frankx

Hi @RNeisser

I am a little confused (happens often with me). The "snip" you added to your first post above is for a payment made in 2023 (more than a year ago).

That "reminder" is designed to make sure payments are assigned to the correct year during a time frame when most people could be making tax payments for more than one tax year (typically the time frame from January 1st through April 15 - but could actually go all the way to October 15 if a second tax extension was filed).

Frankx

NotACPA

My IRS tax line is only for taxes due and paid in the current year. Such as amount withheld from my SocSec payments or my IRA withdrawals. Those are deductible with the current year's tax return … i.e., the return I file in 2025.

The taxes that I paid with my 2024 return goes into a category that I created "Prior Yr Taxes:FED", because they don't impact my 2024 taxes owed.

RNeisser

That makes sense, NotACPA. By the way, I was also an auditor. Thanks for your response.