2009 Schedule U Underpayment of Estimated Tax by Individuals and Fiduciaries Schedule U 2009-2025

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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 to include the penalty on your return.
If your current year total tax minus the amount of tax you paid through withholding is less than $1,000, you are not required to pay the underpayment penalty and do not need to complete Form 2210.
Underpayment interest is computed at the rate of 12% per year for the period of the underpayment. Underpayment interest is computed separately for each installment due date. Therefore, you may owe underpayment interest for an earlier installment due date even if you pay enough tax later to make up the underpayment.
For most filers, if your federal tax withholdings and timely payments are not equal to 90% of your current year tax, or 100% of the total tax from the prior year (whichever is less), then you may need to complete Form 2210 to determine if you are required to pay an underpayment penalty.
If you didnt pay enough tax throughout the year, either through withholding or by making estimated tax payments, you may have to pay a penalty for underpayment of estimated tax.

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Purpose of Schedule U Use Schedule U to see if you owe interest for underpaying your estimated tax and, if you do, to figure the amount of interest you owe.
You will need to use IRS Form 2210 to show that your estimated tax payment is due because of income during a specific time of the year. If not, the IRS assumes that you had the income throughout the year and simply underpaid your estimated tax. This could lead to a penalty.

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