topic Penalty Interest, cannot remove form 2210 in Get your taxes done using TurboTax

Penalty Interest, cannot remove form 2210

Sam Khan — Sat, 11 Jul 2020 02:53:54 GMT

Last year I paid all my taxes not sure why I am being charged for $185 as a penalty/Interest. I am trying to delete form 2210 but I cannot. I see message are you sure you want to delete the form and I clicked YES but form is still there and amount is not changed. Any idea what I am doing wrong?

Re: Penalty Interest, cannot remove form 2210

VolvoGirl — Sat, 11 Jul 2020 02:59:20 GMT

You can only delete it in the Desktop program.

If you do not pay enough tax, you may have to pay a penalty for underpayment of estimated tax. Even if you are getting a refund you can still owe a penalty for not paying in evenly during the year. Generally, most taxpayers will avoid this penalty if they owe less than $1,000 in tax after subtracting their withholdings and credits, or if they paid at least 90% of the tax for the current year, or 100% of the tax shown on the return for the prior year, whichever is smaller. It is included in your tax due or reduces your refund.

You might be able to eliminate it or at least reduce it. You can go to Federal Taxes tab or Personal tab, under Other Tax Situations and select Start by the Underpayment Penalties. You will answer a series of questions that may reduce or eliminate the penalty. Or you can elect to have the IRS figure the penalty for you. It's form 2210.

It's under

Federal or Personal (for Home & Business Desktop)

Other Tax Situations

Additional Tax Payments

Underpayment Penalties - Click the Start or update button

If you have the desktop program you can switch to Forms Mode (click forms in the upper right (left for Mac)) and open the 2210 form. If the 2210 doesn't show up in the left column, click on Open Forms at the top of the left column. Type 2210 in the search box and open the 2210 form. Check box C to let the IRS calculate it.

ps....I had a refund once and still had a penalty for not paying in evenly during the year.

Re: Penalty Interest, cannot remove form 2210

Sam Khan — Sat, 11 Jul 2020 03:06:52 GMT

OK, I did that and it has removed the penalty. Is the program calculating penalty because due date is changed to 7/15 instead of 4/15? Is program calculating penalty thinking I am filling tax return late even though federal changed the due date to 7/15. I am not going to get any extra penalty am I?

Re: Penalty Interest, cannot remove form 2210

VolvoGirl — Sat, 11 Jul 2020 03:11:46 GMT

No neither of that. It's for not paying in enough during the year. And it is an estimated Penalty In fact the IRS May bill you for more. I think I explained it above.