Posted on 01/19/2018 10:36:16 AM PST by madison10
Just performed the 1/19/2018 update on my tax software. I had expected that larger standard deduction to show up, but alas it did no. Does anyone know if that deduction will show up in the February update?
You may be able to see the US Tax Cuts benefit NOW. See your tax adviser to see if you can increase your exemptions and see an increase in your pay NOW!
Tax year 2018.
Doesn’t apply to 2017 taxes.
It’s not my fault. I wish it were retro as well. Just think about the good times ahead. :^)
Only in one instance (of which I am aware) is the new tax law retroactive. That is for medical deductions. “Under the old rules, medical expenses were deductible only to the extent they exceeded 10% of adjusted gross income. For 2017 and 2018, however, the threshold drops to 7.5% of AGI. Come 2019, the 10% threshold returns.”
No. Your withholding will decrease this year. Probably your next paycheck.
More money in American’s pockets.
Good juju.
The only real effect on 2017 taxes is a reduction to the floor of the AGI percentage for medical deductions. It was 10%, “thanks” to Ovomitcare, but was reduced back down to 7.5% of AGI.
Unless further legislation stops it, it goes back up to 10% in 2019. (WHY do Republican passed laws always sunset?)
Still in trouble... LOL
Semantics. When I said 2019, I was referring to when you would be filing your 2018 tax returns. Cheers!
Thanks
What sort of tax software? Are you talking about the tax software you use to prepare your 2017 tax return due on April 15 of 2018? Or are you talking about a payroll software for processing 2018 payrolls?
If you are talking about the tax software (H&R Block, Turbo Tax, etc.) for the 2017 tax year for the return you will be filing in 2018, you will not see any changes because the tax reform bill changes, for the most part does not go into effect until the 2018 tax year (the tax return you will file in 2019).
If you are talking about payroll software for processing 2018 payrolls, the updated withholding tables were just released by the IRS on 1/11/2018 so depending on the payroll software or processor, the new withholding tables may not have been updated yet. The IRS does say “Employers should begin using the 2018 withholding tables as soon as possible, but not later than Feb. 15, 2018.”
The IRS has not revised the W-4 for 2018 as yet but once it does, you may want to think about calculating your tax liability and submitting an updated W-4.
Thanks.
Wrong year. 2017 taxes are under the old rules. Which is why folks were rushing to make contributions and pay state and local taxes.
Ignore anything else you read at the same place.
You read wrong
Apparently.
Parts are.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.