SC2210: Underpayment of Estimated Tax by Individuals, Estates, and Trusts (2024)

Who files this form

SC2210 helps individuals, estates, and trusts determine whether they paid enough South Carolina Income Tax during 2024 and whether they owe an underpayment penalty.

If your Income Tax liability on SC1040 or SC1041 is $100 or more, you must prepay tax through withholding or Estimated Tax payments. That does not automatically mean you must file SC2210.

• Complete Part I, lines 1 through 6. If line 3 or line 6 is less than $100, you do not owe a penalty and should not file SC2210.
• Otherwise, complete lines 7 and 8 and follow the form's filing questions.
• Part II lists reasons to file: requesting a full or partial penalty waiver, using the Annualized Income Installment Method, treating withholding as paid on its actual dates to lower the penalty, or meeting the joint-return condition in box E.
• Box E applies if you filed jointly for 2023 or 2024, but not both years, and Part I, line 7 is less than line 4.
• If no Part II box applies, the form generally tells you not to file SC2210. The department will calculate any penalty and bill you for an unpaid amount.

Farmers and fishermen who meet the special income and timely filing-and-payment conditions are instructed to attach SC2210 to their tax return.

When it's due

For tax year 2024, SC2210 lists these installment payment due dates:

• April 15, 2024
• June 15, 2024
• September 15, 2024
• January 15, 2025

If you file your 2024 return and pay the tax due by January 31, 2025, there is no penalty for the installment due January 15, 2025. Underpayment periods for earlier installments end on January 15, 2025, but earlier penalties are not erased.

For the 2024 farmer and fisherman exception, the instructions require filing SC1040 and paying the entire tax by March 1 following the end of the tax year. If March 1 falls on a weekend, the deadline is the next business day.

What you'll need

Have the information used by the form ready:

• Your 2024 SC1040 or SC1041, including tax after credits, applicable refundable credits, and withholding amounts.
• Your 2023 tax and adjusted gross income information for Part I, line 7.
• The dates and amounts of Estimated Tax payments and withholding used to calculate each installment's underpayment.
• Your name and Social Security Number. Individual taxpayers must provide their Social Security Number.

Depending on your situation, you may also need:

• Annualized income: Federal Schedule AI completed for South Carolina purposes.
• Partial penalty waiver: A statement explaining why you are requesting the waiver.
• Farmers and fishermen: Federal Form 2210F completed for South Carolina purposes if you meet the farming-and-fishing income test but not the timely filing-and-payment condition.

How to file

Complete Part I, then check every applicable box in Part II to determine what to file.

• Box A or E only: File pages 1 and 2. You are not required to calculate the penalty. You may use Part III as a worksheet, but submit only pages 1 and 2.
• Box B, C, or D: Calculate your penalty and file SC2210.
• Box C: Include federal Schedule AI completed for South Carolina purposes. Write “Annualized” to the left of SC2210, line 9, and “For South Carolina Purposes” at the top of Schedule AI. Attach Schedule AI to your return and enter exception code A on SC1040, line 33.

For a full waiver request, complete Parts I and II and attach SC2210 to your Income Tax return. For a partial waiver request, complete through line 25, show the requested waiver in parentheses to the left of line 26, and enter the penalty remaining after the requested waiver on line 26. Attach SC2210 and a statement explaining the request. The waiver instructions specify exception code W on SC1040, line 33.

Enter the penalty from line 26 on SC1040, line 33, or SC1041, line 19.

The supplied text does not give a mailing address or e-filing directions.

Common mistakes

• Including Estimated Tax or extension payments in Part I, line 5. That line is for the specified withholding amounts only.
• Filing SC2210 when the form says to stop. If Part I, line 3 or line 6 is less than $100, do not file it.
• Submitting unnecessary pages. If only box A or E applies, file only pages 1 and 2, even if you use Part III as a worksheet.
• Assuming a later payment removes earlier penalties. Paying your 2024 Estimated Tax liability by January 15, 2025, or filing and paying by January 31, 2025, does not eliminate penalties for earlier underpayments.
• Applying payments to the current installment first. Payments must cover prior underpayments before the current installment.
• Working across columns too soon. Complete lines 11 through 17 of one column before moving to the next. In Section B, complete lines 18 through 25 of one column before moving on.

Questions people ask

Do I have to calculate the penalty myself?

Not always. If box B, C, or D applies, you must calculate it. If only box A or E applies, file pages 1 and 2 and the department will calculate any penalty and bill you for an unpaid amount.

When is there no underpayment penalty?

The instructions list exceptions if your prior-year tax liability was $0 for a full 12 months, or if the total tax on your 2024 return minus withholding is less than $100. Complete Part I, lines 1 through 6, to check the $100 condition.

What if my income varied during 2024?

The Annualized Income Installment Method may lower your required installments. Complete federal Schedule AI for South Carolina purposes, check box C, and include Schedule AI with SC2210.

Can I request a penalty waiver?

Yes. A waiver may be available for an underpayment caused by a casualty, disaster, or other unusual circumstance when imposing a penalty would be inequitable; retirement after age 62 or disability in 2023 or 2024 when the underpayment was due to reasonable cause; or a penalty attributable to personal service income earned in another state on which that state's Income Tax was withheld. Check box A for a full waiver or box B for a partial waiver.

How is withholding treated when calculating installments?

Income Tax withheld from salary, pension, or winnings is treated as Estimated Tax paid in equal installments on the four installment dates unless you prove otherwise. Box D applies when using the actual dates of South Carolina Income Tax withholding from wages lowers your penalty.

Official sources

• https://dor.sc.gov/sites/dor/files/forms/SC2210_2024.pdf