Please take the time to understand how the new tax cut law will impact your 2018 tax return.
When filing your 2018 tax return this year, here are some important reminders from the IRS
- There were major tax law changes in 2018 that will affect the tax return you file early in 2019. This could affect the amount of your tax bill or tax refund.
- There were changes in the withholding tables in early 2018 that meant you received more take-home pay in your paycheck. These changes mean that you could see a change in the amount of your tax refund or tax bill when you file your tax return in 2019, especially if you didn’t adjust your withholding on a Form W-4 during 2018.
- Remember, these changes come from the new tax law, not your payroll or human resource office.
- To understand whether you might face an amount due with your 2018 tax return, do a “paycheck checkup” now. Grab your most recent pay stub and search IRS.gov for “Withholding Calculator.”
To prepare for 2019 taxes
- If you want to adjust the amount you receive in a refund or a tax bill for 2019, you need to submit an updated Form W-4 with your employer as soon as possible.
- It’s important to check your paycheck withholding every year, but it’s especially important in 2019 if you:
- Had too much or too little withheld from your paycheck in 2018 and had an unexpected result when you filed your 2018 taxes in early 2019.
- Performed a “Paycheck Checkup” and adjusted your withholding in 2018. Re-check your with- holding for 2019 to make sure you’re having the right amount withheld.
