Mickey, a calendar year taxpayer, filed a return correctly showing no Federal income tax liability for 2010. During 2011, his AGI is $120,000 and his tax liability is $20,000. To avoid a penalty for 2011, Mickey must make aggregate estimated tax payments of at least:

Question

Quizplus · Accepted Answer

Since Mickey had no tax liability in the prior year (2010), he is not required to make estimated tax payments for 2011 to avoid a penalty, as long as he pays the full amount due by the tax deadline.

Mickey, a Calendar Year Taxpayer, Filed a Return Correctly Showing