Get 2016 Instructions For Form 2210. Instructions For Form 2210, Underpayment Of Estimated Tax By

You may need this form if: You're self-employed or have other income that isn't subject to withholding, such as investment income. You don't make estimated tax payments or paid too little. You don't have enough taxes withheld from your paycheck.

Estimated tax payment safe harbor details The IRS will not charge you an underpayment penalty if: You pay at least 90% of the tax you owe for the current year, or 100% of the tax you owed for the previous tax year, or.

Underpayment of estimated tax occurs when you don't pay enough tax during those quarterly estimated tax payments. Failure to pay proper estimated tax throughout the year might result in a penalty for underpayment of estimated tax.

To possibly reduce or eliminate your underpayment penalty, open your return in TurboTax and search for annualizing your tax (use this exact phrase). This will take you to the underpayment penalty section and we'll take you through the steps to possibly reduce what you owe.

If you don't pay enough tax through withholding and estimated tax payments, you may be charged a penalty. You also may be charged a penalty if your estimated tax payments are late, even if you are due a refund when you file your tax return.

Use Form 2210 to see if you owe a penalty for underpaying your estimated tax. The IRS will generally figure your penalty for you and you should not file Form 2210. You can, however, use Form 2210 to figure your penalty if you wish and include the penalty on your return.

Purpose of Form Generally, use Form 2210 to see if you owe a penalty for underpaying your estimated tax and, if you do, to figure the amount of the penalty. Even if you aren't required to file Form 2210, you can use it to figure your penalty if you wish to do so.