I received a Form 1099-MISC but didn’t make a quarterly estimated taxes payment during the year. Will I owe an underpayment penalty?
Maybe. You might owe an underpayment penalty for tax underpaid if:
- Your total tax for the current year minus withholding and credits is more than $1,000.
- Your tax withholdings and credits are less than:Â
- 90% of your current tax liability
- 100% of your prior-year tax liability
- 110% of your prior-year tax liability if your adjusted gross income (AGI) last year was more than $150,000 or $75,000 if you and your spouse file separately.
You’ll figure your penalty on Form 2210.
To set up an installment agreement for your business, the IRS may need to determine your business' ability to pay. Learn more from the experts at H&R Block.
An identity theft indicator has been placed on your IRS account. Learn more about notice CP01 from the tax experts at H&R Block.
Here are the five things you need to know to respond to the IRS when you get an incorrect CP2000 notice, including how and when to respond.
Get the facts about IRS authorizations, such as Form 2848, Power of Attorney. Read the IRS definition and get more insight from the experts at H&R Block.