Estimated Tax Payments (Form 2220):

The corporation deposited estimated tax payments as follows: July 15, 2020 $225,000 September 15, 2020 165,000 December 15, 2020 165,000 Total $555,000

Taxable income in 2019 was $1.2 million, and the 2019 tax was $252,000. The corporation earned its 2020 taxable income evenly throughout the year. Therefore, it does not use the annualization or seasonal methods. Assume the underpayment penalty rate remains at 3% for the second quarter of 2021 (regardless of any announced rate change).

Current yr book income stmt. - net income before income taxes $3,592000, federal income tax expense $742,560, state income tax expense $75,000, net income $2,774,440