Penalty or No Penalty I copied the following from IRS instructions for 2014 Form 1040, Line 79:
You may owe penalty if you did not pay enough estimated tax by any of the due dates.
After figuring my taxes, I will owe $1267 -- but I DID pay more than 90% of the total taxes on line 63. So I thought I would owe no penalty, till I saw the "rule" about not paying ENOUGH estimated tax by any of the due dates.
I paid $5256 on each of the four due dates, which I thought would be enough, but obviously it was not quite enough.
So, even though I made four timely payments of estimated tax, and even though I paid more than 90%, will I be assessed a penalty for coming up short by $1267? (By the way, I did not pay 110% of last year's taxes, which would have been a "safe harbor" for me, but it was my lawyer who said $5256 would be enough...) |