F-2220: Underpayment of Estimated Tax on Florida Corporate Income/Franchise Tax (Revision)
Florida · Florida DOR · Used for tax years 2024, 2025, 2026
Florida Form F-2220 determines whether estimated corporate income/franchise tax installments were paid in the correct amounts by their due dates. It calculates underpayments, checks an exception to penalty and interest, and figures any applicable penalty and interest.
Who files this form
Form F-2220 helps taxpayers check whether they paid the correct amount of each estimated Florida corporate income/franchise tax installment on time and calculate any underpayment penalty and interest.
Every domestic or foreign corporation or other entity subject to tax under Chapter 220, Florida Statutes, must report estimated tax if its expected income tax liability for the taxable year is more than $2,500. The text does not state a separate requirement for who must submit Form F-2220.
When it's due
Estimated-tax installment deadlines depend on the tax year entered on the form:
- Tax years ending June 30: Generally, installments are due by the last day of the 4th month, 6th month, 9th month, and tax year.
- Tax years not ending June 30: Generally, installments are due by the last day of the 5th month, 6th month, 9th month, and tax year.
A deadline falling on a Saturday, Sunday, or legal holiday moves to the next business day. However, installments due on the last day of June must be paid on or before the last Friday of June.
The text does not give a separate filing deadline for Form F-2220.
What you'll need
Have the following information available:
- Your tax year's beginning and ending dates, FEIN, name, and address.
- Florida Form F-1120, Line 13, showing total income/franchise tax due for the year.
- Estimated-tax payment amounts and dates, plus any prior-year overpayment credit.
- Prior-year income information if you are calculating the prior-year exception.
- Certificates of contribution or credit approval letters for eligible credits used in that calculation.
Attach these supporting calculations when applicable:
- A schedule showing the prior-year exception calculation.
- An explanatory statement with computations if the estimated-tax filing requirements were met during the year and fewer than four installments were required.
- A separate computation for each payment if you made more than one payment for an installment.
A separate interest calculation schedule may also be necessary.
Common mistakes
- Carrying forward an overpayment without checking earlier shortages. Enter a previous installment's overpayment on Line 4(c) only if it exceeds all prior underpayments.
- Using the prior-year exception when it is not allowed. You cannot use it in your first year of operation. A previous short tax year also prevents its use unless the short year resulted from a change in accounting period.
- Annualizing taxable income to determine an installment requirement. The Florida Income Tax Code does not allow this.
- Using credit documents issued outside the allowed period. Each certificate or approval letter must be issued on or after the beginning of the tax year and by the return's due date, including a valid extended due date.
- Treating all of a later installment payment as payment of an earlier shortage. Only the amount exceeding the installment calculated on Line 3 counts toward a previous underpayment.
Questions people ask
How does the form calculate the installment amount?
Line 2 is 90% of the total annual tax shown on Line 1. Line 3 uses 25% of Line 2 for each of the four installments.
Can I avoid penalty and interest on an underpaid installment?
Yes, if you qualify for the prior-year exception. For each installment, cumulative payments or credits on Line 7 must equal or exceed Line 8(c), which reflects tax on prior-year income using the current year's tax rate, adjusted for eligible credits. Attach a schedule showing the calculation.
How is the underpayment penalty calculated?
Line 12 uses 12% per year on the underpayment for the number of days on Line 11. The calculation ends on the payment date or the due date of the corresponding Florida corporate income/franchise tax return, whichever is earlier.
What interest rate should I use?
Interest depends on the payment date and the rate or rates in effect during the underpayment period. The floating rate is updated January 1 and July 1 each year. Rates are available at floridarevenue.com/taxes/rates.
Where do I report the penalty and interest if I file F-2220 with my return?
Enter the penalty and interest amounts on the appropriate line of Florida Form F-1120.