83-305: Underestimate of Corporate Income Tax Worksheet (2024)
Mississippi · Mississippi DOR · Used for tax years 2024
Mississippi Form 83-305 is a worksheet for calculating required quarterly estimated income tax payments and any underestimated tax interest and penalties. It compares estimated payments and available overpayments with required estimates.
Who files this form
Form 83-305 is a worksheet for calculating underestimated corporate income tax interest and penalties. It includes entries for corporations, composite S corporations, and electing pass-through entities, and a reporting reference for insurance filers.
The form does not state a filing threshold or explain when completing the worksheet is mandatory.
When it's due
The 2024 worksheet lists these estimated tax payment due dates:
- First installment: 15th of the 4th month.
- Second installment: 15th of the 6th month.
- Third installment: 15th of the 9th month.
- Fourth installment: 15th of the 12th month.
Enter the estimate due dates in line 6, columns (a) through (d).
What you'll need
Have the following information available to complete the worksheet:
- Your FEIN.
- Current-year income tax due from Form 83-105, line 8, for corporations, or Form 84-105, line 8, for composite S corporations and electing pass-through entities.
- Prior-year income tax due.
- Estimated tax amounts paid each quarter and payment dates.
- Any overpayment from the prior year or earlier quarters.
Common mistakes
- Do not overlook the large-corporation exception. Line 4 says to enter the lesser of 90% of current-year income tax due or prior-year income tax due, except for large corporations, and refers those corporations to the instructions. No instructions were provided with this text.
Questions people ask
Where do I find the current-year income tax amount?
Use Form 83-105, line 8, for corporations, or Form 84-105, line 8, for composite S corporations and electing pass-through entities. Enter that amount on worksheet line 1.
How is the quarterly estimate calculated?
Line 2 calculates 90% of current-year income tax due. Line 4 generally uses the lesser of that amount or prior-year income tax due, with an exception for large corporations. Line 5 divides the line 4 amount by four.
What interest rate does the worksheet use?
Line 15 specifies 5/10 of 1% per month, calculated from the payment due date until the payment is made or the next payment due date, whichever is earlier.
Where do I report the total interest and penalty?
Add total penalty from line 17 and total interest from line 18, and enter the result on line 19. Transfer that total to Form 83-105, page 1, line 15, for corporations; Form 84-105, page 1, line 15, for composite S corporations and electing pass-through entities; or Form 83-391, line 10, for insurance.