Rather than waiting for next year's tax-time filing period, you might want to consider making an estimated quarterly tax payment via the IRS website (make an online account or send them a check by mail). Read up on "safe harbor rules" to avoid underpayment penalties.-When selling all my holdings I can put aside the $7k that needs to go to taxes in a MMA or HYSA for the year. I would earn some interest on it, and it will be available (if needed) come time for 2025 taxes.
H&R Block: Avoiding Underpayment Penalty
Investopedia: What is Safe Harbor?
IRS: Underpayment of Estimated Tax by Individuals
Statistics: Posted by bonesly — Fri Feb 14, 2025 12:28 am — Replies 27 — Views 1783