IRS expands waivers for taxpayers who didn't withhold enough

The Internal Revenue Service on Wednesday announced that it is waiving a penalty for any taxpayer who paid at least 85% of their total tax liability during the year through federal income tax withholding, quarterly estimated tax payments or a combination of the two. The usual percentage threshold to avoid a penalty has been 90%, the IRS said in a statement. "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," said IRS Commissioner Chuck Rettig.

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