§5199-H. Estimated tax installment payments
Estimated taxes are required with respect to the tax imposed under section 5199‑C in accordance with the provisions of this section.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
1.
Requirement to pay estimated tax.
Every person subject to taxation under this subchapter shall make payment of estimated tax as required by this section. The requirement to make estimated tax payments is waived if:
A.
The electing pass-through entity's estimated tax liability is less than $1,000 for the taxable year; or
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
B.
The electing pass-through entity had less than $1,000 tax liability under this subchapter, excluding the estimated tax liability under section 5199‑D, for the preceding taxable year.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
2.
Amount of estimated tax to be paid.
Every electing pass-through entity required to make payment of estimated tax under this subchapter is liable for an estimated tax that is no less than the smaller of:
A.
An amount equal to the electing pass-through entity's tax liability under this subchapter, excluding the estimated tax liability under section 5199‑D, for the preceding taxable year, if that preceding year was a taxable year of 12 months; and
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
B.
An amount equal to 90% of the electing pass-through entity's tax liability under this subchapter, excluding the estimated tax liability under section 5199‑D, for the current taxable year.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
3.
Due dates for estimated tax installments.
An installment payment is due the 15th day of the 4th, 6th, 9th and 13th month following the beginning of the electing pass-through entity's taxable year.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
4.
Amount of installment.
The amount of estimated tax to be paid in a taxable year by an electing pass-through entity must be paid in installments by the dates established in subsection 3. The amount of the estimated tax must be paid in 4 equal installments unless the taxpayer establishes by adequate record the actual distribution of tax liability and allowable credits, or both, in which case the amount of the installment payments must be adjusted accordingly and be determined in accordance with the portion of the electing pass-through entity's estimated tax liability applicable to that portion of the electing pass-through entity's taxable year completed by the close of the month preceding the installment's due date less estimated tax payments already made for the taxable year.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
5.
Penalty.
A penalty accrues automatically on underpayments of the required installment amount for the period of underpayment at the rate provided pursuant to section 186. For cause, the assessor may waive or abate all or part of the penalty.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
6.
Short taxable year.
For a taxable year of less than 12 months, the estimated tax must be paid in full by the 15th day of the last month of the taxable year. For payment dates falling within the short taxable year, payment must be made as provided in subsection 3.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
7.
Installments paid in advance.
At the election of the electing pass-through entity, an installment of estimated tax may be paid prior to the date prescribed for its payment.
[PL 2025, c. 650, Pt. N, §3 (NEW); PL 2025, c. 650, Pt. N, §8 (AFF).]
SECTION HISTORY
PL 2025, c. 650, Pt. N, §3 (NEW). PL 2025, c. 650, Pt. N, §8 (AFF).