Which of the following statements concerning estimated tax payments and underpayment penalties for individuals is true? Assume CARES Act applies.

rev: 10_14_2020_QC_CS-231569

Multiple Choice

• Whether taxpayers are subject to underpayment penalties is determined on a quarterly basis.

• Due dates for estimated tax payments for a given year are April 15 (July 15 for 2020), June 15, September 15 of that year, and January 15 of the next year, unless these dates fall on a weekend or a holiday.

• The amount of penalty depends on the amount of the underpayment among other factors.

• All of these statements are true.