Exceptions to the tax penalty

[Jerryoak]

In Illinois, my wife and I file jointly, and we have a penalty because we did not prepay any estimated taxes. The TurboTax form asks:  If I was 65 or older and was permanently living in a nursing home in 2021. 

I would answer NO because I am not living in a nursing home, so this does not change our penalty.  But my spouse has dementia and is living in a nursing facility, so does that count?

The IL FORM 1040 says in Step 10-B Check if you or your spouse are 65 or older and permanently living in a nursing home.

 So, which is right? If I check this box, it eliminates our penalty.

Thank you for any assistance.

[MaryK4]

Yes, you would qualify for the penalty- I will pass this to Development to get the verbage reviewed.

[Jerryoak]

Thank you, MaryK1101, for the reply but I am still not sure what you mean by saying I would qualify for the penalty. Do you mean I would qualify to have the penalty eliminated?

Jerryoak

[LenaH · Accepted solution]

Yes, you would qualify for the penalty to be eliminated. 

Per Title 86, Part 100, Section 100.8000 of the Illinois Department of Revenue Regulations, no estimated tax payments are required by an individual who is 65 years of age or older and is a permanent resident of a nursing home...A husband and wife may pay estimated tax as if they were one taxpayer, in which case the liability with respect to the estimated tax shall be joint and several. 

Furthermore,  the term "nursing home" means a skilled nursing or intermediate long-term care facility that is subject to licensure by the Illinois Department of Public Health under the Nursing Home Care Act [210 ILCS 45]. 

@Jerryoak