Tax law changes for 2018 affect withholding

 

Who should do a #PaycheckCheckup with the new #IRS Withholding Calculator to make sure they’re not having too little or too much tax
withheld? http://www.irs.gov/withholding.

The Tax Cuts and Jobs Act made major changes to the tax law. Because of this, you should do a paycheck checkup using the Withholding Calculator on IRS.gov.

Recent changes affecting withholding include:

  • Reduced tax rates
  • Elimination of personal exemptions
  • Increased standard deductions: $12,000 for singles, $18,000 for heads of households and $24,000 for married couples filing jointly
  • Increased child tax credit: $2,000 per qualifying child and a new $500 credit for other qualifying dependents
  • Changes to itemized deductions
    See IRS.gov/taxreform for more information.Date: May 1, 2018

For more help with tax topics please visit our Tax Help Page.

source: https://www.irs.gov