Safe harbors for corporate estimated taxes
or R&D expenditures would make the law simpler, he stated.
The new rules make the preparation of estimated taxes
a two-step process.
Corporate income and corporate estimated taxes
Alternative Two: In the event the taxpayer overpays its estimated taxes
, interest (at the rate prescribed by section 6621(a)(1) of the Code) would be paid to the taxpayer on the amount of the overpayment from (i) the later of the due date of the estimated taxes
or the date payment is made, to (ii) the date such overpayment is refunded (or applied to a subsequent liability).
The penalty on underpayment of 1992 estimated taxes
will be waived only on the portion of the underpayment due to the changes in the withholding tables that President Bush provided earlier this year.
Fourth quarter 2001 estimated taxes
will be due January 15, 2002.
Exhibit: Sample unprotected estimated tax payment notice Important Notice To: Client From: Partner Date: m/d/y Re: Unprotected estimated tax payments Please note that the combination of your projected withholding and/or estimated tax payments for 200X is not the required amount to "protect" you from penalty for underpayment of estimated taxes
Since Congress needs the increased revenue and has made compliance difficult, the individual is quite likely to be subject to penalty interest charges for underpaid estimated taxes
3) Estimated taxes
originally due after September 11, 2001
6655 imposes a penalty for the underpayment of estimated taxes
by a corporation.
The revenue provision of the bill would have required pass-through entities that choose a fiscal year and whose average income per 2% owner is less than $250,000 to pay estimated taxes
25 /PRNewswire/ -- Upper-income individuals, who have for years paid estimated taxes
, may soon need to acquire a knack for predicting the future.