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Level 2
Sep 17, 2025 4:22 PM UTC
Question

Possible Penalty Exception

Is your 2023 tax liability zero?

 

Is this asking if you paid enough in that you received a refund (with no additional payment) or that you didn't make enough to need to file or received all withholdings back?  

    3 replies

    Level 2
    Sep 17, 2025 5:37 PM UTC

    I posted this earlier but it is no longer showing on the Discussion Board. No reply received. Any Idea why?

     

    Is your 2023 tax liability zero?

     

    Is this asking if you paid enough in that you received a refund (with no additional payment) or that you didn't make enough to need to file or received all withholdings back?  

    Level 15
    Sep 17, 2025 6:12 PM UTC

    Your 2023 tax liability is the amount shown on line 24 of your 2023 Form 1040.

    fanfare
    Level 15
    Sep 17, 2025 11:39 PM UTC

    When your prior year tax is zero, the underwithholding penalty calculation for this year is moot.

    You won't be penalized.

    @user17576955373