Important IRS message – Federal Taxes!

This notice appeared in the Weekly Phoenix between February 18, 2019 and February 24, 2019.

February 19, 2019

The Internal Revenue Service announced on January 16, 2019, that it is waiving the estimated tax penalty for many taxpayers whose 2018 federal income tax withholding and estimated tax payments fell short of their total tax liability for the year.

The IRS is generally waiving the penalty for any taxpayer who paid at least 85 percent 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 is 90 percent to avoid a penalty. Visit the IRS official statement for more information.

The IRS is urging taxpayers to use the 2019 Withholding Calculator to ensure the right amount of federal tax is withheld from paychecks.

Employees can adjust their paycheck withholdings in Workday by following a few easy steps provided in the Workday Quick Reference Guide for Withholding Elections.

As a reminder, there are several Workday Quick Reference Guides available in the Workday Job Aids worklet located on your Workday home screen.

For more information regarding payroll-related matters, contact the Payroll and Tax Services Office by email or call 863-333-0802.