Lacerte Large Corporation Determination

[eric1032]

My C-corp client did not have 3 straight years of more than 1 million in taxable income, yet Lacerte's diagnostic keep stating it is.   Under Scree 11 Penalty and Interest - Large Corporation is not marked "1"

Screen 10 Estimate tax - 2021 taxable income is 2 million, 2020 is 1.5 million 2019 is 500k.   

It's not Large Corp.   What am I missing?   It's generating penalty and interest based on Large Corp, it's annoying.

[sjrcpa]

Spoiler

It's not taxable income, it's Gross Income.

[sjrcpa · Accepted solution]

It's taxable income of $1 million for any of the 3 years.

". A large corporation is a corporation (other than an S corporation) that had, or whose
predecessor had, taxable income (defined below) of $1 million or more for any of the 3 tax years immediately preceding the 2022 tax year"

[eric1032]

you are right.

I wander if the definition changed in the last 3 years.   I always thought it's 1 million or more for 3 straight years.