The IRS has provided additional estimated tax penalty relief for individuals for 2018. Earlier this year, the IRS waived individual estimated tax penalties for the 2018 tax year if total estimated tax payments and withholdings made on or before Jan. 15, 2019, were at least 85 percent of the tax due for 2018. On March 22, 2019, the IRS lowered the payment threshold from 85 percent to 80 percent, thus providing relief for even more taxpayers.
Accordingly, Notice 2019-25 provides that estimated tax penalties for 2018 will be waived if an individual’s total estimated tax payments and withholdings made on or before Jan. 15, 2019, are at least 80 percent of the tax due for 2018. Individuals requesting this waiver must file Form 2210, “Underpayment of Estimated Tax by Individuals, Estates, and Trusts,” with their 2018 individual tax return, check the waiver box (Part II, Box A), and include the statement “80% Waiver” with their return.
Taxpayers who qualify for relief under Notice 2019-25 and who already have paid an estimated tax penalty for 2018 can file Form 843, “Claim for Refund and Request for Abatement,” and include the statement “80% Waiver of estimated tax penalty” on Line 7.
Relief provided by Notice 2019-25 applies only to individuals.
Accordingly, Notice 2019-25 provides that estimated tax penalties for 2018 will be waived if an individual’s total estimated tax payments and withholdings made on or before Jan. 15, 2019, are at least 80 percent of the tax due for 2018. Individuals requesting this waiver must file Form 2210, “Underpayment of Estimated Tax by Individuals, Estates, and Trusts,” with their 2018 individual tax return, check the waiver box (Part II, Box A), and include the statement “80% Waiver” with their return.
Taxpayers who qualify for relief under Notice 2019-25 and who already have paid an estimated tax penalty for 2018 can file Form 843, “Claim for Refund and Request for Abatement,” and include the statement “80% Waiver of estimated tax penalty” on Line 7.
Relief provided by Notice 2019-25 applies only to individuals.
