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Company summer merger, Forced sell all stock. Capital gains $250K. TT line 38 $349 penalty. Broker didnt know tax situation at time of sale. How waive penalty?

Looks like I can use form 843 to claim waiver BUT how do I add it to my return that I'm about to submit?
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2 Replies

Company summer merger, Forced sell all stock. Capital gains $250K. TT line 38 $349 penalty. Broker didnt know tax situation at time of sale. How waive penalty?

that's a 2210 penalty and you use form 2210 checking in box A or B and then explain why you think you are entitle to an abatement

 

RobertB4444
Expert Alumni

Company summer merger, Forced sell all stock. Capital gains $250K. TT line 38 $349 penalty. Broker didnt know tax situation at time of sale. How waive penalty?

If you go to 'Other Tax Situations' and scroll down to 'Additional Tax Payments' the first option is 'Underpayment Penalties'.  Click on that and go through the questions to see if you can get the penalty abated.

 

@cindyturtax21a 

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