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[[I just read the Tax FAQ on estimated taxes....and I know have the following question?]]

Good...glad you found it...

[[ Line 32 of my 1997 adn 1998 Form 1040 (adjusted gross income) is less than $150,000? After I
get my last paycheck on Dec 30 1998 my 1998 W-2 Federal withholding will be $8000 for the
year of 1998. ]]

OK...

[[ Line 53 of my 1997 Federal Tax return shows $7965 total tax. Since my 1997 total tax is less then
the total federal tax ($8000) withheld on my 1998 W-2's....am I exempt from making estimated
tax payments this year on a large stock sale in July with which I incurred a long term capital gains
of aproximately $30,000???]]

Yup. But you had BETTER make sure that your W-2 withholdin is at least $7,966. If you miss it by even ONE DOLLAR, the safe harbor is closed, and you'll have penalties to deal with.

[[ and if so is there any special form I need to fill out so I don't incurr
any penalties. (I use Intuit Macintax each year to do my taxes)]]

You'll file Page 1 of Form 2210. That'll give you the safe harbor exception. Macintax should be able to deal with this just by asking your the appropriate questions. So you should be home free.

TMF Taxes
Roy

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