topic California corporate tax underpayment penalty in Business & farm

California corporate tax underpayment penalty

debdsnsol — Mon, 21 Feb 2022 02:15:50 GMT

This seems to happen every year for me. I've got all the numbers in my 2021 federal and California corporate taxes and I owe the minimum $800 BUT I am getting a $22 penalty for underpayment.

I paid the 2020 $800 taxes on time and made no other estimated payments. I plan to pay the 2021 $800 taxes in full before the due date.

Usually, find some special box to check or uncheck and this $22 penalty disappears. Can't find it in TurboTax for 2021. Would love some help. Many thanks!

Re: California corporate tax underpayment penalty

johncnoland — Thu, 11 Aug 2022 17:37:37 GMT

I feel your pain, any luck on finding the answer?

Re: California corporate tax underpayment penalty

johncnoland — Thu, 11 Aug 2022 17:51:39 GMT

The solution I found was to edit form 5806 and enter my extension payment amount in field 25 Amount paid by the installment due date.

Apparently TurboTax doesn't include the extension payment here.

Re: California corporate tax underpayment penalty

Critter-3 — Thu, 11 Aug 2022 17:59:01 GMT

In the state interview look for this screen ...

Re: California corporate tax underpayment penalty

nolandcharges — Sun, 14 Aug 2022 15:01:56 GMT

I was not presented with the "or" opt