Section 40-18-80 Penalty where certain percent of tax exceeds estimated tax for individuals.
Section 40-18-80
Penalty where certain percent of tax exceeds estimated tax for individuals.
(a) If 90 percent of the tax, determined without regard to the credit under Section 40-18-78, in the case of individuals other than farmers exercising an election under Sections 40-18-82 and 40-18-83, or 66 2/3 percent of such tax so determined in the case of such farmers, exceeds the estimated tax increased by such credit, there shall be added to the tax an amount equal to such excess, or equal to six percent of the amount by which such tax so determined exceeds the estimated tax so increased, whichever is the lesser.
(b) Subsection (a) shall not apply to the taxable year in which:
(1) The death of the taxpayer occurs.
(2) The taxpayer makes a timely payment on April 15, June 15, and September 15 of that year, and on January 15 of the year succeeding the taxable year, or in the case of farmers exercising an election under Section 40-18-83(a)(6) and who make payment in an amount equal to one hundred percent of the tax shown on the return for the preceding taxable year (or, if no return is filed, ninety percent of the tax for such year).
(3) The liability for the previous year was zero (0) (except for a net operating loss carryback to that year).
(Acts 1955, No. 289, p. 661, §11; Acts 1983, No. 83-741, p. 1214, §2; Acts 1992, No. 92-186, p. 349, §57; Act 2001-1088, 4th Sp. Sess., p. 1095, §3.)