Your client wants to avoid any penalty for underpayment of estimated taxes by making timely deposits. Determine the amount of the minimum quarterly estimated tax payments required to avoid the penalty. Assume your client's adjusted gross income last year was $140,000.Last year's tax liability$40,000This year's estimated total tax44,000Taxes to be withheld for this year9,000

A. $8,750
B. $7,750
C. $7,650
D. $11,000


Answer: C

Business

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