Overpayment
In one sentence: Tax paid in excess of the actual liability — generally returned as a refund.
What it means
You can choose to receive a refund or apply the overpayment to next year's estimated taxes via Form 1040 line 36.
In one sentence: Tax paid in excess of the actual liability — generally returned as a refund.
You can choose to receive a refund or apply the overpayment to next year's estimated taxes via Form 1040 line 36.