Grant Corporation is not a large corporation for estimated tax purposes and reports on a calendar-year basis.Grant expects the following results: Grant's tax liability for last year was $240,000.Grant's minimum total estimated tax payment for this year to avoid a penalty is

Question

Grant Corporation is not a large corporation for estimated tax purposes and reports on a calendar-year basis.Grant expects the following results:  Grant's tax liability for last year was $240,000.Grant's minimum total estimated tax payment for this year to avoid a penalty is

Quizplus · Accepted Answer

A) The estimated tax liability for a small corporation is the lesser of 100% of the current year's tax liability (regular tax and alternative minimum tax), or 100% of last year's tax liability, or $240,000.

Grant Corporation Is Not a Large Corporation for Estimated Tax