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Purpose of Form 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.
To request a waiver when you file, complete IRS Form 2210 and submit it with your tax return. With the form, attach an explanation for why you didnt pay estimated taxes in the specific time period that youre requesting a waiver for. Also attach documentation that supports your statement.
IRS Form 2210 calculates the penalty for underpaying your estimated taxes. Well automatically generate Form 2210 if your return needs it.
Penalty is 25% for failing to file estimated payments or 10% of underpaid tax per quarter.
Use Form 2210 to determine the amount of underpaid estimated tax and resulting penalties as well as for requesting a waiver of the penalties. You may need this form if: Youre self-employed or have other income that isnt subject to withholding, such as investment income.
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People also ask

Simply put, underpayment of estimated tax occurs when you dont pay enough tax when you pay quarterly estimated tax payments.
You can avoid the penalty entirely if you owe less than $1,000 or paid enough in taxes throughout the year to meet the IRS minimum (generally, either 90% of the tax owed this year or 100% of what you paid last year).
If you didnt pay at least 90% of your taxes owed (or 100% of last years tax liability) and owe more than $1,000 when you file your taxes, you may be charged a fine called the underpayment penalty.