Hello,
I am trying to calculate line 14 on form 2210AI (underpayment). The instructions are less than clear; on the form is says "Figure your tax on the amount on line 13, see instructions"; per the irs website (you may google "instructions for form 2210 line 14", click on the first link from the IRS, and do a find on line 14) the instructions are:
"To compute the tax, use the Tax Table, Tax Computation Worksheet, Qualified Dividends and Capital Gain Tax Worksheet, Schedule D Tax Worksheet, Foreign Earned Income Tax Worksheet, Schedule J, or Form 8615, along with the instructions for your tax return."
Can anyone explain how to actually calculate this? I have calculated the value on line 13, which it is dependent on, but I am unsure as to what to do next.
EDIT:
So the first step in how the amount is calculated is finding the amount in line 13 on the IRS Tax Table, and then dividing that figure by 4.
In my case, I have an item (e) in the "Capital Gains Tax Smart Worksheet" which is qualified dividends. This number reduces the tax calculated in the first step in my previous paragraph, but I am unsure how that calculation is done.
Thank you in advance.
