Codes for application of current year overpayment

The code you select in Application of current year overpayment
on the

EstT

screen determines how the application will apply any current-year overpayment.

Code	Result
1 (default)	Refund 100% of the overpayment.
2	Apply 100% of overpayment to next year's estimate and refund the excess. This option applies the overpayment to the 1st estimate and to each successive estimate until the funds run out or until all estimates are paid. There will be a refund of the remaining amount on 1041, 1041-QFT, or 1040NR.
3	Apply to the 1st quarter estimate and refund the excess.
4	Apply equally to each quarter and refund the excess. This applies the overpayment equally to each estimate and refunds any excess overpayment.
5	Apply the portion of the overpayment shown in Amount for code 5 or 8 to the estimates until the overpayment runs out or all payments are made. There will be a refund of the remaining amount on 1041, 1041-QFT, or 1040NR.
6	Apply to the 1st and 2nd quarter estimates and refund the excess.
7	Apply 100% of the overpayment to next year's estimate with no refund.
8	Apply the amount specified below in Amount for code 5 or 8 . If you use this code and leave Next year declaration blank, estimates don't calculate.