{"id":3201,"date":"2010-04-15T21:00:18","date_gmt":"2010-04-15T15:30:18","guid":{"rendered":"http:\/\/www.niftylivecharts.com\/blog\/?p=3201"},"modified":"2010-04-15T21:00:18","modified_gmt":"2010-04-15T15:30:18","slug":"what-is-an-underpayment-penalty","status":"publish","type":"post","link":"https:\/\/www.niftylivecharts.com\/blog\/what-is-an-underpayment-penalty\/","title":{"rendered":"What is an Underpayment Penalty?"},"content":{"rendered":"<p>Underpayment Penalty<\/p>\n<p>A tax penalty enacted on an individual for not paying enough of his or her total estimated tax and withholding. It is a penalty assessed by tax authorities when a taxpayer&#8217;s withholding and estimated tax payments (plus any overpayment from the prior year) are substantially less than the tax that is owed. The IRS does not assess an underpayment penalty when a taxpayer has paid at least 90% of the tax owed or when withholding plus estimated taxes paid equal 100% of the prior year&#8217;s tax liability.If an individual has an underpayment of estimated tax, they may be required to pay a penalty (on Form 2210).<\/p>\n<p>To avoid an underpayment penalty you must pay either 100% of last year&#8217;s tax or 90 percent of this year&#8217;s tax by combining estimated and withholding taxes.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Underpayment Penalty A tax penalty enacted on an individual for not paying enough of his or her total estimated tax and withholding. It is a penalty assessed by tax authorities when a taxpayer&#8217;s withholding and estimated tax payments (plus any overpayment from the prior year) are substantially less than the tax that is owed. The [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[1],"tags":[3483,2367,7849,7848],"class_list":{"0":"post-3201","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-general","7":"tag-finance","8":"tag-investment","9":"tag-tax-withholdings","10":"tag-underpayment-penalty","11":"entry"},"_links":{"self":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts\/3201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/comments?post=3201"}],"version-history":[{"count":0,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts\/3201\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/media?parent=3201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/categories?post=3201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/tags?post=3201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}