Instructions For Form 1120-W - Estimated Tax For Corporations - 2015 Page 4

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Line 10
year items of income under section 951(a) equal to 115% (100%
for a noncontrolling shareholder) of the amounts shown on the
Figure the tax on the amount on line 9c by following the same
corporation's return for the first preceding tax year (the second
steps used to figure the tax on Form 1120-W, page 1, line 14.
preceding tax year for the first and second required
installments).
Line 15. Alternative Minimum Tax
For more information, see section 6655(e)(4)(B) and
The corporation may owe AMT unless it will be a “small
Regulations section 1.6655-2(f)(3)(v)(B)(2).
corporation” exempt from the AMT under section 55(e) for its
2015 tax year. To figure the AMT, use the 2014 Form 4626 and
Extraordinary items. If the corporation has extraordinary
its instructions as a guide. Figure alternative minimum taxable
items, special rules apply. Do not include on line 21 the de
income (AMTI) using income and deductions for the months
minimis extraordinary items that the corporation chooses to
shown in the column headings above line 1. Divide the AMTI by
include on line 23b. See Extraordinary items earlier.
the amounts on line 8 before subtracting the exemption amount.
Line 22. Annualization Amounts
Multiply that result by 20% and subtract any AMT foreign tax
credit plus the amount on line 10 to arrive at the AMT. For
Enter the annualization amounts for the option used on line 20.
columns (a) through (c), multiply the AMT by the amount shown
For example, if the corporation elects Option 1, enter on line 22
on line 13.
the annualization amounts 6, 3, 1.71429, and 1.2, in columns (a)
through (d), respectively.
Line 16. Other Taxes
For the same taxes used to figure page 1, Part I, line 19, figure
1st
2nd
3rd
4th
the amounts for the months shown in the column headings
Installment
Installment
Installment
Installment
above line 1.
Standard option
4
4
2
1.33333
Line 18. Credits
Option 1
6
3
1.71429
1.2
. . . . .
Enter the credits to which the corporation is entitled for the
Option 2
4
2.4
1.5
1.09091
. . . . .
months shown in the column headings above line 1.
Part II. Annualized Income Installment
Line 23b
Method
If the corporation has certain extraordinary items of $1,000,000
or more, a net operating loss deduction, or a section 481(a)
Line 20. Annualization Periods
adjustment, special rules apply. Include these amounts on
Enter in the space on line 20, columns (a) through (d),
line 23b. Also include on line 23b the de minimis extraordinary
respectively, the annualization periods that the corporation is
items that the corporation chooses to exclude from line 21. See
using, based on the options listed below. For example, if the
Extraordinary items earlier.
corporation elects Option 1, enter on line 20 the annualization
Line 24
periods 2, 4, 7, and 10, in columns (a) through (d), respectively.
Figure the tax on the amount in each column on line 23c by
Use Option 1 or Option 2 only if the corporation elected
following the same steps used to figure the tax on Form 1120-W,
to use one of these options by filing Form 8842,
!
page 1, line 14.
Election To Use Different Annualization Periods for
CAUTION
Corporate Estimated Tax, on or before the due date of the first
Line 25. Alternative Minimum Tax
required installment payment. Once made, the election is
irrevocable for the particular tax year.
The corporation may owe AMT unless it will be a “small
corporation” exempt from the AMT under section 55(e) for its
2015 tax year. To figure the AMT, use the 2014 Form 4626 and
its instructions as a guide. Figure AMTI using income and
1st
2nd
3rd
4th
Installment
Installment
Installment
Installment
deductions for the annualization period entered in each column
on line 20. Multiply the AMTI by the annualization amounts on
Standard option
3
3
6
9
line 22 before subtracting the exemption amount. Multiply that
Option 1
2
4
7
10
. . . . .
result by 20% and subtract any AMT foreign tax credit plus the
Option 2
3
5
8
11
amount on line 24 to arrive at the AMT.
. . . . .
Line 26. Other Taxes
For the same taxes used to figure line 19 of Form 1120-W, figure
Line 21. Taxable Income
the amounts for the months shown on line 20.
If a corporation has income includible under section 951(a)
Line 28. Credits
(controlled foreign corporation income), special rules apply.
Enter the credits to which the corporation is entitled for the
Amounts includible in income under section 951(a) generally
months shown in each column on line 20. Do not annualize any
credit. However, when figuring the credits, annualize any item of
must be taken into account in figuring the amount of any
income or deduction used to figure the credit.
annualized income installment as the income is earned. The
amounts are figured in a manner similar to the way in which
Part III. Required Installments
partnership income inclusions are taken into account in figuring
a partner's annualized income installments as provided in
Line 33
Regulations section 1.6654-2(d)(2).
Before completing line 33 in columns (b) through (d), complete
Safe harbor election. Corporations may be able to make a
lines 34 through 38 in each of the preceding columns. For
prior year safe harbor election. Under the election, an eligible
corporation is treated as having received ratably during the tax
-4-
Instructions for Form 1120-W (2014)

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