Corporate Estimated Tax. F Corporation, a calendar year corporation, reported the following information with respect to its tax liabilities for 2020 and 2021: Actual 2021 tax liability . Actual 2020 tax liability . $120,000 100,000 F made timely quarterly estimated tax payments of $26,000 each quarter during 2021. F Corporation is not a “large" corporation (i.e., it did not have taxable in- come of $1 million or more in any of the three preceding taxable years). The 2020 tax liability was for a full 12-month period.
Corporate Estimated Tax. F Corporation, a calendar year corporation, reported the following information with respect to its tax liabilities for 2020 and 2021: Actual 2021 tax liability . Actual 2020 tax liability . $120,000 100,000 F made timely quarterly estimated tax payments of $26,000 each quarter during 2021. F Corporation is not a “large" corporation (i.e., it did not have taxable in- come of $1 million or more in any of the three preceding taxable years). The 2020 tax liability was for a full 12-month period.
Chapter11: The Corporate Income Tax
Section: Chapter Questions
Problem 10P
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Transcribed Image Text:Corporate Estimated Tax. F Corporation, a calendar year corporation, reported the
following information with respect to its tax liabilities for 2020 and 2021:
Actual 2021 tax liability .
Actual 2020 tax liability .
$120,000
100,000
F made timely quarterly estimated tax payments of $26,000 each quarter during
2021. F Corporation is not a “large" corporation (i.e., it did not have taxable in-
come of $1 million or more in any of the three preceding taxable years). The 2020
tax liability was for a full 12-month period.
Compute the amount of quarterly underpayment for F Corporation, if any.
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