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April 2, 2025
Question

do i need to file a form 2210?

  • April 2, 2025
  • 1 reply
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Will i need to pay a penalty for underpayment of estimated tax?

1 reply

April 2, 2025

If you have a tax due possibly. 

 

The underpayment may be avoided if:

 

  • You paid 90% of the tax that you owe for the current year.  
  • If the current taxes paid are equal to 100%, (110% for higher incomes) of your taxes owed the prior year.  
  • The IRS also says you can probably avoid the penalty if the amount you owe is less than $1,000.
  • To avoid this situation, it's recommended that you adjust your W-4 with your employer, or pay estimated taxes. 

 

For more information see, Guide to IRS Tax Penalties: How to Avoid or Reduce Them.

If you need to fill out form 2210 you can do so by selecting Other Tax Situations>>Underpayment Penalties.  You will also be asked at the end of the interview questions if you want to apply for the penalty waiver.  

 


 

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