Edge Corp., a calendar-year C corporation, had a net operating loss and zero tax liability for its 2006 tax year. To avoid the penalty for underpayment of estimated taxes, Edge could compute its first quarter 2007 estimated income tax payment using the
|
Annualized income method |
Preceding year method |
|
|
a. |
Yes |
Yes |
|
b. |
Yes |
No |
|
c. |
No |
Yes |
|
d. |
No |
No |