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Nonrefumdable credits and estimated tax

A nonredundable credit for 2022 was larger than my tax on Form 1040 line 16, so total tax (line 24) was zero for 2022. I had no refundable credits.

As I understand it, after reading instructions for Form 1040-ES, if my 2022 Form 1040 line 24 for 2022 (tax minus nonrefundable credits) was zero, then I do not need to pay estimated taxes for 2023 but can wait and pay a lump sum in April 2024. (I don't think any of the special instructions on page 6 apply to me. I'm not a farmer or fisherman, didn't have AGI above $150K, didn't file a joint return, and did file a 2022 return for a 12-month year.)

I want to make sure I'm not missing something, so I don't let myself in for a penalty. Am I reading the instructions correctly, and owing zero after nonrefundable credits in 2022 means I do not have to pay estimated taxes for 2023? Or have I misinterpreted somehow?

Thanks!

Reply to
Stan Brown
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Yes you are correct with two caveats: You also have to have been a US Citizen or Resident Alien for the full year and 2022 was a full year.

Reply to
Alan

Thanks, Alan. I qualify on both counts, so I guess I'm good ... for this year.

My 2023 total tax will be high enough that I'll need to pay estimated tax in 2024 to avoid penalties.

Reply to
Stan Brown

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