Accidentally marked 'exemption' on w4 for 2 months

[Alice Liu]

I am a new immigrate and got my first job here from 22Apr2024. I just found out that I accidentally marked exemption on my w4...I already corrected it in the system today (20Jun2024) but I am worrying about if that will impact my tax file in 2025? Or will there be any panlity?

[xmasbaby0]

Sounds like you corrected the problem pretty quickly.  No, there will not be a penalty for that mistake.   You might owe a bit more or get a smaller refund because of the smaller amount withheld but it should not cause a penalty.   If you are a non-resident alien, you will not be able to use Turbo Tax at tax time.

If you are a non-resident alien, your return must be filed on Form 1040NR, which cannot be prepared using TurboTax.  You can use TT’s partner, sprintax:

https://www.sprintax.com/non-resident-alien-tax-1040nr-turbotax.html

[Alice Liu]

Thanks for the reply.

Yes I've updated my W4 and also withhold extra amount according to the IRS withholding calculator. If I had enough amount for the tax holding at some point of this year, will I still get a smaller refund?

I am a Green Card holder and I think i will be resident alien for the whole 2024 year. 

[NCperson · Accepted solution]

if you are a Green Card Holder you are automatically a resident alien.  

since you used the IRS estimator and corrected your W-4 based on the results, you should receive a small refund or owe a very small amount at tax time. 

as long as you owe less than $1000 when you complete your tax return, there is no penalty for underpayment during the year.