Michigan State Form MI-2210 is not working correctly

[Eric B]

This relates to the calculation of a penalty incase you have not paid or underpaid the withholding for the period.

Line 24 of that form is either 25% of the underpayment if you have not paid any withholding for that period or 10% if you partially paid the withholding.

The current TurboTax program only allows 25%. I can override it but then can not e-file. 

Can TurboTax let us know when this bug will be fixed? 

[JamesG1]

2025 Michigan Underpayment of Estimated Income Tax MI-2210 may be found here.

At the bottom of the final page under Part 3:  Figuring the Penalty, it states:

Penalty is 25 percent of the tax due (minimum $25 per quarter) for failing to file estimated payments or 10 percent (minimum $10 per quarter) for failing to pay enough with your estimates or paying late.

At the top of the same page in the second column, it states:

Line 24:

Enter 25 percent in the column if estimated tax payments were not paid for that period for 2025.  Enter 10 percent in the column if estimated tax payments were underpaid for that period in 2025.

On line 24 of the Michigan MI-2210 Underpayment of Estimated Income Tax, I am able to report the 10 percent of the tax due for failing to pay enough with estimated payments.

In TurboTax Desktop Premier, I am able to report Michigan estimated taxes under Deductions & Credits / Estimates and Other Taxes Paid / Estimates / State estimated taxes for 2025.

10 percent of the tax due was available on line 24 of the Michigan MI-2210 because an estimated tax payment was made even though the estimate underpaid the balance due.

[Eric B]

On my return (on a Mac computer), the line 24 of that form is stuck on 25% even as I paid some of the estimated tax for each quarter. 

There is no way to change it as 10% is not available. Only way is to override it at the cost of not being able to e-file.

I closed the return and restarted TurboTax to no avail. 

Please help 

Thank you

[Eric B]

TurboTax is asking me whether this post resolved my question. The answer is no, it did not.

Per my subsequent post, line 24 remains stuck on 25% despite the fact that an estimated tax paid and withheld on line B of the penalty calculation smart worksheet shows payment for every quarter. 
Thank you for looking for a solution to this error.

[DaveF1006]

If you’re still stuck at 25%, the form data may be corrupted in the background.

1. Delete Form 2210: Go to "Tax Tools" > "Delete a Form" (Online) or "Forms Mode" (Desktop) and delete Form 2210 and the Underpayment Penalty Worksheet.
2. Re-run the Interview: Go back to the "Underpayment Penalties" section. Do not go straight to the worksheet; let the interview questions lead you there. This usually forces the software to re-link Line B to the Line 24 calculation.
3. One last tip: Check your 2024 Prior Year Tax entry. If TurboTax thinks you owed $0 last year (or it didn't import correctly), it might be defaulting to a calculation based entirely on this year's 90% rule, which can trigger that stubborn 25% penalty if your Q1 withholding was even a dollar short.

@Eric B 

[Eric B]

Thank you very much for your post. I am working with a Mac desktop. So I deleted the form MI-2210 and reentered info through the easy-step interview. to no avail unfortunately. I also quit turbotax after deleting Mi-2210 for and re-initiated it; it updated the software and I performed the same data input as above. to no avail again.

I have an input for 2024 tax paid (2024 tax multiplied by 110%). The form clearly has that value and uses it in line 9 to calculate the quarterly estimated tax. That is if I do not use the annualized income installment method (box on line 8). I am actually using that method and have an underpayment only in the last quarter.

I also notice that the calculation of the interest is stuck on April 15th date and interest for the last quarter is always based on 75 days whatever date I enter on line D of the information smart worksheet. This is also an error.

Thanks again for you input and suggestion. I hope you may have a couple more. 

[Eric B]

Thank you very much for your post. I am working with a Mac desktop. So I deleted the form MI-2210 and reentered info through the easy-step interview. to no avail unfortunately. I also quit turbotax after deleting Mi-2210 for and re-initiated it; it updated the software and I performed the same data input as above. to no avail again.

I have an input for 2024 tax paid (2024 tax multiplied by 110%). The form clearly has that value and uses it in line 9 to calculate the quarterly estimated tax. That is if I do not use the annualized income installment method (box on line 8). I am actually using that method and have an underpayment only in the last quarter.

I also notice that the calculation of the interest is stuck on April 15th date and interest for the last quarter is always based on 75 days whatever date I enter on line D of the information smart worksheet. This is also an error.

Thanks again for you input and suggestion. I hope you may have a couple more. 

[AmyC]

If you didn't make the 4th quarter payment on time, the program will stick on both the 25% and the April 15th date. If that is not the case, I suggest you  contact support. 

[Eric B]

Amy, thank you. I did make a payment in Q4 but underpaid. Hence the penalty which should be 10% of the underpayment. As I said TurboTax is stuck on 25% and April 15th payment date regardless of date entry. 

I have tried 4 times to connect to TurboTax Support. After waiting 1/2hour or more, the agent could be barely heard and very hard to understand each time. Additionally, all of the them hung up on me after less than a minute of connection. 

PLEASE TURBOTAX IMPROVE!!!