
Many taxpayers assume they can settle up at tax time if they fall short on estimated payments.
The IRS does not treat underpayment casually. Penalties are calculated using specific formulas and interest rates that can grow quickly.

Many taxpayers assume they can settle up at tax time if they fall short on estimated payments.
The IRS does not treat underpayment casually. Penalties are calculated using specific formulas and interest rates that can grow quickly.