The IRS yesterday issued guidance on the safe harbor from penalties for tax filers making de minimis errors when filing information returns. Under the safe harbor — established in the PATH Act of 2015 — an error is not required to be corrected, and no penalty is imposed, if the error results in a reporting difference of $100 ($25 in the case of an error related to tax withheld) or less. However, the safe harbor does not apply if a payee elects out of the rule. The IRS notice provides background on the operation of the rules and indicates that formal regulations will be issued in the future. Comments on the notice are requested by April 24. For more information, contact ABA’s John Kinsella.