If I get a penalty from New York State, can I pay it and the withholding all at once?

For example, my withholding tax in NYS is $1k, and my penalty is also $1k. Can I can pay all $2k at the same time?

  • Withholding (and estimated tax payments) are always for the current year, and any penalties that you might owe are necessarily for a prior tax year. So, no, they cannot be paid together. – prl Dec 31 '19 at 10:00
  • Withholding tax” is normally assessed on earnings of non-tax-residents and is usually taken out before you get your money. Do you mean income tax? – Lawrence Dec 31 '19 at 11:18

I'm not sure what you mean by "withholding tax" but typically you pay any penalties when you file your annual tax return; it is added on to your total tax amount and used to calculate your net tax due or refund.

For example, if you have $10,000 in income tax due, have a $1,000 penalty and had $10,500 withheld throughout the year, when you file your state taxes you'll have a net tax due of $500 (10,000 + 1,000 - 10,500).

If you're asking if you can pay the penalty earlier - such as with an estimated tax payment, then sure - it will just count as taxes already paid when you file your annual return.

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