Estimated Tax Payments from incentive unit payout

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Topic Author
ottto
Posts: 4
Joined: Mon Jul 25, 2016 8:36 am

Estimated Tax Payments from incentive unit payout

Post by ottto »

My company was recently acquired and I received a large pre-taxed lump sum (~$90,000) in Feb 2023 since I was granted "incentive units" when I was hired 5 years ago. When the grant was issued, I also signed/sent in a 83B Election form to the IRS.

I've heard that I need to pay "estimated tax payments" 4 times throughout the year, but I am unsure how much to pay. I originally thought that I would just wait until I file my taxes for 2023, that I would just pay the taxes on the $90K sum at the capital gains rate (0.15%), so like $13,500. But my coworkers/google searches have led me to believe that the IRS could penalize me for not paying some amount of tax throughout the year on this lump sum.

What I'm trying to figure out is how much I need to pay per quarter throughout 2023 based on this information. Is it just (0.15 * 90,000) / 4 = $3,375?

Any guidance or direction would be much appreciated!
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