Client (cash basis Sub S) made an estimated tax payment of $10,000 in December 2021, anticipating a profit of approximately $150,000. As it turned out, there was a tax loss for the year. In preparing the PTET return, the $10,000 will be refunded. Is there anyone who thinks the credit on K-1 disclosure is anything other than $0 for 2021 since the tax was $0 even though $10,000 was paid in.
What if the tax was $10,000 and there were no estimates paid. Balance will be paid on 3/15/22. Tax program simply asks for PTET taxable income and PTET tax. It makes no differentiation of what was paid in during 2021 or 2022.
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Larry Prosky CPA
Prosky & Rosenfeld LLP
1025 Old Country Road
Suite 403W
Westbury, NY 11590
(516) 873-9600 X1
(516) 661-6020
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