Form 2210 - Underpayment penalty waiver

[MikePerk]

I e-filed a tax return for a client who ended up owing an underpayment penalty which will be deducted along with the remainder of his tax due on April 15th.  Subsequent to filing he informed me that social security has indicated he qualifies as disabled as of mid 2024 and he would like to now ask for a waiver of the penalty.

If I file an amendment at this time prior to the filing deadline as a superseded return will the IRS update the amount of tax due (the amended return does not show a refund coming), or should I wait until after April 15th to file?

Thanks for any help you can give.  Mike

[sjrcpa]

How much penalty are we talking about?

And how does being declared disabled by SSA provide reasonable cause for an underpayment?

[IRonMaN]

I questioned that too, but I figured Bob would come up with some obscure thing that if you lost two fingers in a chainsaw accident, you would qualify for a waiver. 🤷‍♂️

[BobKamman]

It's even more difficult for people missing two fingers to wave.  My question is how they can take the penalty from his bank account without his permission.  If I agree to pay $100 tax balance due on April 15 but I made a mistake and my tax is actually $1,000, can IRS grab that also?  Why would penalty be any different?  

And IRS is already telling people they owe ES penalty?  Maybe I am reading this wrong, maybe the return already showed the penalty.  How much was it, anyway?  I bet it's under $100.  The taxpayer has been disabled all year and still owes tax?  Maybe withdrawals from an IRA.  Maybe now he can file an amended return to remove the 10% "excise tax."

[Terry53029]

@sjrcpa From 2210 instructions.

Waiver of Penalty

If you have an underpayment, all or part of the penalty for that underpayment will be waived if the IRS determines that:

• In 2023 or 2024, you retired after reaching age 62 or became disabled, and your underpayment was due to reasonable cause (and not willful neglect);

[IRonMaN]

But don't forget about the "and" portion.

"and your underpayment was due to reasonable cause"

[George4Tacks]

Being old is reasonable cause to mess up!!!!

[IRonMaN]

But then why do they still allow us to prepare returns? 😜

[George4Tacks]

They allow us to do it poorly, as long as we do the best we can with our old feeble minds. A day without a screw up is a day I probably didn't notice. 

[MikePerk]

His underpayment penalty is over $350.  I'm not sure the SSA declaration does provide reasonable cause but my client wants to try anyway.

My question is more about procedure, do I file the amendment now prior to April 15th or wait until the IRS takes his money (tax due plus underpayment penalty) on April 15th.