Department of the Treasury

Internal Revenue Service

Underpayment of Estimated Tax by

Fiscal Year Corporations With Tax Years

Ending on September 30, 2003

 Attach to the corporation’s 2002 Form 2220.

OMB No. 1545-0142

Name Employer identification number

1

2

3

4

5

6

7

8

9

Installment due dates

Required installments. See instructions for amounts to

enter

Complete lines 4 through 10 of one column before going

to the next column.

Estimated tax paid or credited for each period (see

instructions). For column (a) only, enter the amount from line

3 on line 7

Enter amount, if any, from line 10 of the preceding column

Add lines 3 and 4

Add amounts on lines 8 and 9 of the preceding column

Subtract line 6 from line 5. If zero or less, enter -0-

If the amount on line 7 is zero, subtract line 5 from line 6.

Otherwise, enter -0-

Underpayment. If line 7 is less than or equal to line 2, subtract

line 7 from line 2. Then go to line 4 of the next column. Otherwise,

go to line 10

Overpayment. If line 2 is less than line 7, subtract line 2

from line 7. Then go to line 4 of the next column

(a) (b) (c) (d)

Schedule W (Form 2220) 2002

1

2

3

4

5

6

7

8

9

Cat. No. 37020Y

10

Part I

For Paperwork Reduction Act Notice, see the instructions.

(e)

 See instructions on page 2. 2002

Figuring the Underpayment

1/15/2003 3/15/2003 6/15/2003 9/15/2003 10/1/2003

(a) (b) (c) (e)

Enter the date of payment or “12/15/2003,” whichever is earlier

(see instructions)

11

Number of days from due date of installment on line 1 to the

date shown on line 11

11

12

12

Number of days on line 12 after 1/15/2003 and before

10/1/2003 13

13

Number of days on line 13 × 5%

365

14 14

18

Add lines 14 and 16

Penalty. Add columns (a) through (e) of line 17. Enter the total here and on line 34 of the 2002 Form 2220.

$$ $$

Underpayment on line 9 × $$ $$

17

18

17

15

16 Number of days on line 15

365

Underpayment on line 9 × × 4%

Number of days on line 12 after 9/30/2003 and before 12/16/2003 15

16 $$ $$

$

$

(d)

$

Part II Figuring the Penalty

SCHEDULE W

(Form 2220)

10

Complete Part II to figure the penalty. If there are no entries on line 9, no penalty is owed.

Note: Complete lines 1 through 8 of Form 2220 before starting this schedule.
Schedule W (Form 2220) 2002 Page 2

Line 2

If the corporation has made more than one payment for a

required installment, attach a separate computation for each

payment.

If none of the boxes on lines 1 through 3 of Form 2220 is

checked:

Example. A corporation underpaid the January 15 installment

by $1,000. The March 15 installment requires a payment of

$2,500. On Monday, March 17, the corporation deposits $2,500

to cover the March 15 installment. However, $1,000 of this

payment is applied against the January 15 installment. The

penalty for the January 15 installment is figured to March 17 (61

days). The remaining $1,500 is applied to the March 15

installment as if it were made on March 15.

Specific Instructions

Large corporations should do the following:

1. If the box on line 3 (but not line 1 nor line 2) of Form 2220

is checked and line 6 of Form 2220 is smaller than line 7 of

Form 2220:

2. If the box on line 3 (but not line 1 nor line 2) of Form 2220

is checked and line 7 of Form 2220 is smaller than line 6 of

Form 2220, enter 25% of Form 2220, line 7, in column (a) of line

2, Schedule W. For column (b), figure the amount to enter as

follows:

3. If the box on line 3 of Form 2220 and the box on line 1 or

line 2 of Form 2220 is checked, follow the instructions in items 1

and 2 above by substituting line 37 of Schedule A for line 2 of

Schedule W. However, for the 4th installment on line 37 of

Schedule A, enter 25% of line 6 of Form 2220 instead of the

amount specified in items 1 and 2 above. Then, complete the

rest of Part III of Schedule A. Enter the amounts from Schedule

A, line 40, on line 2 of Schedule W. In doing so, enter 75% of

Schedule A, line 40, column (d), on Schedule W, line 2, column

(d). Enter 25% of Schedule A, line 40, column (d), on Schedule

W, line 2, column (e).

● Enter 25% of line 6, Form 2220, in each of columns (a)

through (c) of line 2, Schedule W.

● Enter 18.75% of line 6, Form 2220, in column (d) of line 2,

Schedule W.

● Enter 6.25% of line 6, Form 2220, in column (e) of line 2,

Schedule W.

● Subtract line 7 of Form 2220 from line 6 of Form 2220,

● Add the result to the amount on line 6 of Form 2220, and

● Multiply the total by 25%, and enter the result in column (b).

Line 3

Column (a). Enter payments made by January 15, 2003.

Column (b), (c), (d), and (e). Enter payments made by the date

on line 1 for that column and after the date on line 1 of the

preceding column.

● Enter 18.75% of line 8, Form 2220, in column (d), line 2,

Schedule W.

● Enter 6.25% of line 8, Form 2220, in column (e), line 2,

Schedule W.

● Enter 25% of line 8, Form 2220, in each of columns (a)

through (c) of line 2, Schedule W.

Line 11

In column (c), enter 25% of line 6, Form 2220. In column (d),

enter 18.75% of line 6, Form 2220. In column (e), enter 6.25% of

line 6, Form 2220.

Paperwork Reduction Act Notice. We ask for the information

on this form to carry out the Internal Revenue laws of the United

States. You are required to give us the information. We need it

to ensure that you are complying with these laws and to allow

us to figure and collect the right amount of tax.

You are not required to provide the information requested on a

form that is subject to the Paperwork Reduction Act unless the

form displays a valid OMB control number. Books or records

relating to a form or its instructions must be retained as long as

their contents may become material in the administration of any

Internal Revenue law. Generally, tax returns and return

information are confidential, as required by section 6103.

The time needed to complete and file this form will vary

depending on individual circumstances. The estimated average

time is:

Recordkeeping 17 hr., 56 min.

Learning about the

law or the form 6 min.

Preparing, copying, assembling, and

sending the form to the IRS 24 min.

If you have comments concerning the accuracy of these time

estimates or suggestions for making this form simpler, we would

be happy to hear from you. See the instructions for the tax

return with which this schedule is filed.

Fiscal year corporations filing Form 2220 for their tax years

ending September 30, 2003, must use Schedule W (Form 2220)

in lieu of completing lines 9 through 33 of Form 2220. Schedule

W implements section 501 of the Jobs and Growth Tax Relief

Reconciliation Act of 2003, which became law after the 2002

Form 2220 was issued. Section 501 provides that 25% of any

required installment of corporate estimated tax otherwise due in

September 2003 is not due until October 1, 2003.

General Instructions

Purpose of Schedule

Note: Complete lines 1 through 8 of Form 2220 before starting

Schedule W.

If the box on line 1 or line 2 of Form 2220 is checked, enter the

amounts from Schedule A (Form 2220), line 40. In doing so,

enter 75% of the amount from Schedule A, line 40, column (d),

in column (d) of line 2, Schedule W, and enter 25% of the

amount from Schedule A, line 40, column (d), in column (e) of

line 2, Schedule W.

Enter the estimated tax payments made by the corporation for

its tax year as indicated below. Include any overpayment from

the corporation’s 2001 tax return that was credited to the

corporation’s 2002 estimated tax. If an installment is due on a

Saturday, Sunday, or legal holiday, payments made on the next

day that is not a Saturday, Sunday, or legal holiday are

considered made on the due date to the extent the payment is

applied against that required installment.

A payment of estimated tax is applied against underpayments of

required installments in the order that installments are required

to be paid, regardless of the installment to which the payment

pertains.