Calculating next year's estimates (1041)

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New (tax) year, new help!

Fixed Assets and UltraTax CS 2023 help is now on Help and Support. We're still moving articles, but you can find most content for the 2023 tax year there. Continue using the Help & How-To Center for tax years 2022 and older.

To apply the current-year overpayment to next-year's estimated payments enter a code in the Application of current year overpayment field. For more information, see Applying a current year overpayment

The following table describes the next-year declaration codes and the method in which the amount of prepayment is calculated for next year. 

Note: To increase the calculated estimate amount to the nearest $10 or $100. For example, If you have a calculated estimate of $93, enter $100 in the Factor for rounding estimates field. 

To change the next-year declaration code, open Screen Est in the Payments folder, click the Next year declaration field, and select a code.

Code Result
1

Use the current-year income tax liability. This is the default if code 2 through 7 is entered in the Application of current year overpayment field.

Note: If the current-year tax is less than the minimum filing requirements, the vouchers don't print.

2 Use the current-year income tax liability plus the adjustment in the Amount for code 2 field. If you select this option, enter an adjustment to the current-year tax liability in the Amount for code 2 field, as well. If the adjustment represents a decrease, enter a negative amount.
3 Use the current-year income tax liability even if the total liability falls below the minimum amount required to make estimated payments.
4 Print vouchers with the amount fields blank. Estimate filing instructions are not produced with code 4 unless you enter X in the Print estimate filing instructions with blank amounts with code 4 field.
5

Use the amounts entered in the fields below. If this code is selected, also enter amounts in the Amounts for code 5 or 9 fields.

Note: The amounts adjust by any overpayment applied.

6 Use the current-year amounts plus the adjustments in the Amounts for code 6 fields. If you select this code, enter adjustments to the current-year amounts in the Amounts for code 6 fields, as well. If the adjustment represents a decrease, enter a negative amount.
8 Use next year's tax rates to calculate liability. If you select this code and the rates for the next year do not change, we calculate estimates using code 1.
9

Use the amounts entered below. If this code is selected, also enter amounts in the Amounts for code 5 or 9 fields.

Note: These amounts do not adjust by any overpayment applied.

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