Underpayment of taxes withholding and estimated paid

[taxhelga]

Does anyone know whether or not the underpayment penalty is still 85% of last year's tax due or has it dropped to 80%. Someone told me it had.

[Marc-TaxMan]

I am PS Pro:  I cannot open article.  But on closer study it is based on 80% of current tax, not 80% of 2017 tax.  

[Kathi_at_Intuit]

Great to see you in the community. When I first looked at your post, I thought it was for Lacerte, I see that it is ProSeries Professional. Please see this post from the IRS:

IRS expands penalty waiver for those whose tax withholding and estimated tax payments fell short in 2018; key threshold lowered to 80 percent

https://www.irs.gov/newsroom/irs-expands-penalty-waiver-for-those-whose-tax-withholding-and-estimate...

[taxhelga]

Thanks for the confirmation.

Helga

[taxhelga]

Thanks