It’s Not “No Big Deal” to Skip Making Quarterly Estimated Tax Payments Anymore.

In 2023, the IRS assessed $7 billion in estimated tax penalties, almost four times more than the amount in 2022.

IRS penalties for not paying enough in estimated tax payments have become huge.

What used to be a penalty of about $150 in 2022 has jumped to an average of $500 in 2023. The number of taxpayers that got stuck with under payment penalties increased by 2 million year over year.