5. Estimated Tax Payments (중간예납) - P.20

Individuals must estimated taxes if they expect taxes if they expect tax liability for the year to be at least _______ and you do not meet a safe harbor test. (A) $1,000 (B) $2,500 (C) $5,000 (D) $10,000

(A) $1,000

Withholding applies to a variety of types of income including pension, bonuses, and commissions. What other types of income is subject to withholding? (A) gambling winning (B) interest (C) alimony (D) prizes and awards

(A) gambling winning

Violet made no estimated tax payments for 2020 because she thought she had enough tax withheld from her wages. In January 2021, she realized that her withholding was $2,000 less than the amount needed to avoid a penalty for the underpayment of estimated tax so she made an estimated tax payment of $2,500 on January 10. Violet filed her 2020 return on March 1, 2021 showing a refund due her of $100. Which of the following statements is not true regarding the estimated tax penalty? (A) Violet will not owe a penalty for the quarter ending December 31, 2020, because she made sufficient payment before January 15, 2021. (B) Violet will not owe a penalty for any quarter because her total payments exceed her tax liability. (C) Violet could owe a penalty for one or all of the first 3 quarters even though she is due a refund for the year. (D) If Violet owes a penalty for any quarter, the underpayment will be computed from the date the amount was due to the date the payment is made.

(B) Violet will not owe a penalty for any quarter because her total payments exceed her tax liability.

Which statement pertaining to estimated tax payments is not correct? (A) An individual, whose only income is from self-employment, will have to pay estimated payments. (B) If insufficient tax is paid through withholding, estimated payments may be necessary. (C) Estimated tax payments are required when the withholding taxes are greater than the overall tax liability. (D) Estimated tax is used to pay not only income tax, but self-employment tax and alternative minimum tax as well.

(C) Estimated tax payments are required when the withholding taxes are greater than the overall tax liability.

A taxpayer had adjusted gross income of $98,000 and a total tax liability in 2020 of $20,000. In 2021, the taxpayer has a tax liability of $25,000. The taxpayer's withholding was increased to $23,500. He will file his tax return for 2021 on April 10, 2022. To avoid the underpayment of estimated tax penalty, the taxpayer must: (A) Pay the additional $500 by January 15, 2022 (B) Pay an additional $1,500 by January 15,2022 (C) File an annualized estimated tax computation (D) Do nothing, as he has satisfied the minimum tax payment requirements.

(D) Do nothing, as he has satisfied the minimum tax payment requirements.