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IRS Expands Penalty Waiver From 85% to Lowered 80% Threshhold

The Internal Revenue Service today, March 22, 2019, provided additional expanded penalty relief to taxpayers whose 2018 federal income tax withholding and estimated tax payments fell short of their total tax liability for the year. 

The IRS is lowering to 80 percent the threshold required to qualify for this relief. Under the relief originally announced Jan. 16, the threshold was 85 percent. The usual percentage threshold is 90 percent to avoid a penalty.

IRS News Release: https://www.irs.gov/newsroom/irs-expands-penalty-waiver-for-those-whose-tax-withholding-and-estimated-tax-payments-fell-short-in-2018-key-threshold-lowered-to-80-percent

ProConnect Tax Online (PTO) has been updated with this as of 3/26/19.