There is the possibility that our house will be sold before the end of 2018. We will have a large capital gains on the sale, well beyond the $500K exemption.
Because our tax bill for 2018 wasn't expected to be large, we were able to have tax withholding on my wife's SS, my pension, and a small inherited IRA meet our obligations rather than pay estimated taxes.
How do we deal with such a large (and unplanned) tax bill? Have tax withholding on the sale of the house (allowed?)? Hope to be able to pay estimated taxes by Dec 17 even though we didn't make any other estimated tax payments in 2018?
Because our tax bill for 2018 wasn't expected to be large, we were able to have tax withholding on my wife's SS, my pension, and a small inherited IRA meet our obligations rather than pay estimated taxes.
How do we deal with such a large (and unplanned) tax bill? Have tax withholding on the sale of the house (allowed?)? Hope to be able to pay estimated taxes by Dec 17 even though we didn't make any other estimated tax payments in 2018?