in the vicinityVideoIRS calls, messages, and reports for the reduction of the tax refunds ‘misleading’
Some people say the new trump tax code, you pay more to the IRS.
Hey, uncle Sam, what happened to my refund?
Under the new tax overhaul law signed by President Trump, many accustomed to a taxpayer from getting a juicy check from the government, owe money to itself this year. The uncertainty of not knowing whether the tax-give a man or only adds stress to an already stressful time. “I don’t know what kind of refund we will I see this year with the new tax law,” a man said to us.
Whether you believe it or not, the money landed in their bank-account in small installments. Experts say, withholdings from paychecks were smaller than in previous years, because for the update of the withholding tables implemented under the new tax law. “You kept more in the pocket during the year. The problem is that the $1,000 spread over 26 pay periods seems to be not as valuable as a $1,000 lump-sum refund, so people can not really feel the “savings”, said Lydia Desnoyers, founder and owner of Desnoyers, CPA, a tax and accounting practice, based in Miami.
The taxpayer can not plead ignorant in relation to the changes to withholdings. You have been warned. “I’ve definitely sent information to my customers and the public informed about the changes and how they can be said to be affected,” Desnoyers.
But a new source of tax policies are not the only reason why some people get stuck with a tax bill instead of a refund. The new code sets limits for state and local deductions. This means that people in States with higher tax burdens risk-taking a heavy hit. “It is a huge tax increase that we got as a result of that. Yes, you cut the prices, but if you don’t lose your deductions on it, you take it in the shorts”, a Wisconsin taxpayer told us.
Instead of blaming the tax man, some the fault of the man in the White house to be problems for their control. “Thank you, Trump,” a taxpayer sarcastically said, while complaining about the money he owes this year. The other is the system to blame, not the President. “You can not everyone, and for certain places, we need more money. please For others, we need less,” said a woman who says she pays more than her fair share, she told us.
Some taxpayers will have a refund, but a much smaller one. The I. R. S. says that refunds will be about 17 percent this year, lower, but the Treasury Department notes in a Tweet that “refunds are in accordance with the 2017 levels, and down slightly in 2018.”
There is a lesson to be learned is to avoid in these difficult times, due to Uncle Sam in the future. “You minimize the shock at tax time by allowing you to have your withholdings, if you are a W2 employee, make estimated payments during the year when other sources of income. You can also check your pension contributions,” Desnoyers said, also suggest that while you may be on the losers of the new tax legislation, a clear winner out of all the changes: “corporations!”
One thing that has not changed in this year, the deadline is. It is April still the 15th, so if you have your W-2 is collecting dust, don’t worry. You have plenty of time before the ides of April.
Steve Rappoport is a news show producer and news anchor at Fox News Radio. Follow him on Twitter @Steve Rappoport.