Can I get help trying to figure out what the calculate your oregon 2021 estimated taxes means?

TurboTax is asking those questions because you owe tax on your Oregon return. The program will generate quarterly payment vouchers so you can avoid an underpayment penalty next year.

Oregon, like the federal government and other states, is a pay-as-you-go state. That means you will pay an underpayment penalty if you owe too much when you file your taxes in 2021. You can avoid the penalty by paying:

• 90% of your 2021 tax after all credits; or —
• 100% of the tax after all credits shown on your 2020 return; or —
• 90% of the tax on your 2021 annualized income.

TurboTax will create quarterly payment vouchers based on those answers. If you make those payments on time, you will not owe an underpayment penalty and will owe less tax at tax time.

Related Resources:

• Publication OR-ESTIMATE