Withholding Compliance

 

IRS Definition

The IRS may direct your employer to withhold federal income tax at an increased rate to ensure you have adequate withholding.

More from H&R Block

When you complete a Form W-4, if you claim more exemptions than you are entitled to, or you mark that you are exempt from having taxes withheld from your pay check and you are not exempt, the IRS can force your employer to withhold taxes at a higher rate. This typically only happens if you owe a significant amount of tax due to underwithholding for more than one year.

You should plan to have enough withheld from your pay check so that you do not owe at the end of each tax year. Underwithholding can lead to owing taxes to the IRS. Learn how to address an unpaid tax bill.

Get help from an IRS expert

H&R Block’s experts can solve any IRS problem, no matter how complex.

Make an appointment

Or call 855-536-6504

Related Information

What To Do If You Can’t Pay Your Taxes

Learn about the different options when you can't pay or still owe money from a past return from the tax experts at H&R Block.

Don’t Pay an IRS Penalty Without Looking Into Penalty Relief

The IRS grants four types of penalty relief, but many taxpayers don't ever ask. Learn how to request penalty abatement from the IRS.

The Top 10 Consequences of Tax Debt

Learn what to do when you can’t pay your taxes – to avoid these 10 consequences of tax debt. Get the facts from the tax experts at H&R Block.

What To Do When You Have an Estimated Tax Penalty

Learn more about your options to reduce or remove an IRS estimated tax penalty. Get the facts from the tax experts at H&R Block.