Skip to comments.IRS penalty for underpayments soars to 8% — nearly triple what it was 2 years ago
Posted on 12/03/2023 12:21:35 PM PST by ChicagoConservative27
The Internal Revenue Service penalty for tax underpayments has nearly tripled since 2021, putting gig economy workers and consultants at the largest risk of having to cough up big bucks to Uncle Sam.
As of Oct. 1, the IRS will now charge 8% interest on estimated tax underpayments, up from 3% two years ago, according to The Wall Street Journal.
(Excerpt) Read more at nypost.com ...
Bidenflation. Now we know why they hired those extra 87,000 armed agents who have no problem firing on Americans.
More weapons in their arsenal against the small business private sector in the USA. Dems and communists seem to have very similar goals.
When the food runs out will the IRS still be able to eat?
The increase is based on what law?
Code to collect money based on gov’t caused and measured inflation.
Exactly, where in the constitution does it say they’re permitted to do this?!
If you lend a large sum of money (I think more than $10,000) to a family member, you must charge the IRS minimum rate of interest to avoid having your loan categorized as a gift and taxed accordingly.
There’s probably a statute in the Treasury Rules that says they can charge whatever they want. Customary rates are about 9% so….
I pay my taxes once a year and last year I was penalized for underpayments I think they’re trying to get me to shift to quarterly payments which I really do not want to do, I’m very busy and I don’t have time every 3 months to sit out and do taxes... that said if they’re trying to force people into paying quarterly they’re also going to try to force people into underpayments so that they get a little extra on the side with that new 8%.
87,000 new agents must be justified by bringing in higher revenues.
Penalty + Interest
2024 Gift Tax Exclusion is $17,000.
Geez, what a bunch of azzholes.
I don’t suppose they are paying 8% interest if you overpay.
I always laugh when people brag about the tax refund they got.
All they did was give the government an interest-free loan. Suckers!
All you deadbeat Americans need to get on the ball and cough it up!
The illegals need things...NOW!
There was a time in my life that as a “proud American”, I bought into the idea that it was patriotic to be paying “my fair share”. Those that didn’t were terrible, and were the reason that other people, such as myself, had to pick up the slack for their failures.
Those days are LONG GONE, especially with the current communist administration.
Today, I commend everyone and anyone that can beat these evil pricks out of a nickel, either legally or illegally and get away with it. More power to ya!!!
Wonder how much old Humper Biden has paid in taxes on all his ill-gotten gains over the years? /s
True. And I would call it loan sharking as you can’t even get 1% from most banks.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.