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IRS Offers Penalty Reprieve to Taxpayers Adjusting to New Law

Submitted by ckanon@abi.org on
Some taxpayers who didn’t have enough money withheld from their paychecks last year won a reprieve yesterday from the Internal Revenue Service, the Wall Street Journal reported. The tax agency said that it would waive penalties for some people who didn’t pay enough taxes throughout 2018, nodding to the uncertainty surrounding the implementation of the tax law Congress enacted at the end of 2017. “We realize there were many changes that affected people last year, and this penalty waiver will help taxpayers who inadvertently didn’t have enough tax withheld,” IRS Commissioner Chuck Rettig said in a statement. “We urge people to check their withholding again this year to make sure they are having the right amount of tax withheld for 2019.” Americans will begin filing their returns for tax year 2018 on Jan. 28 even as the partial government shutdown has the IRS operating at diminished capacity with unpaid workers. (Subscription required.)
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