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Earl's tax liability for last year was $25,000. Earl expects his income for this year to decline and his tax liability for this year to be only $13,000. Earl is self-employed and, thus, will have no withholding. His AGI for last year did not exceed $150,000. Requirement What minimum amount of estimated taxes should Earl pay this year? What problem will Earl encounter if he pays this minimum amount and his current year income exceeds last year's because of a large capital gain realized in December of this year? What minimum amount of estimated taxes should Earl pay this year? To avoid the penalty for underpaying estimated taxes for this year Earl must pay the lesser of 100% of his prior year tax liability or 90% of his current year tax liability. To avoid an underpayment penalty, Earl should pay estimated taxes this year of