Posted on 02/09/2019 4:00:36 AM PST by Libloather
**SNIP**
2. You might not get as much money back, but that doesn't mean you'll pay more either. Accountants call this year's process easier for the average person. With the new tax law, everyone's filing on the same form. Most people's tax rate is less, too. But that's not all: Your refund check may be less may be less, a lot less, than last year.
Instead of withholding as much throughout the year, the government gave it to the people to spend, which is something not everyone realizes.
"They anticipated for the lower rates," said Tylor Katze of Bennett Tax. "And it's causing people to owe or have a lower refund overall, which they're not too happy about."
**SNIP**
6. Start thinking about your 2019 taxes... now. It's never too early to look ahead to next year's taxes: If you want the bigger refund like you're used to, talk to your tax adviser now and change your withholdings to make sure you don't owe and get more money back in 2020.
(Excerpt) Read more at channel3000.com ...
Never owed a cent until this year and it was over 400 dollars!
And I’m 64 years old!
So far, as I prepare my return, I’m owing rather than getting a refund from this filthy government. The tax code is an abomination and disgrace.
Getting a refund means you gave the gubmit a free loan.
Thanks President Trump! Thanks Senator Rubio!
My return was much smaller this year, but I was anticipating it.
SALT cap at 10k hurt. And, there’s a 750k cap on mortgage interest deductions for debt assumed after Dec 15, 2017.
The volume of outrage will increase as 15 April approaches.
IMHO, withholding by the guvmnt should not take place. Let the IRS send a bill at the end of the year and make everyone send them a check; then you’ll see some REAL tax reform.
My return was much smaller this year, but I was anticipating it.
SALT cap at 10k hurt. And, there’s a 750k cap on mortgage interest deductions for debt assumed after Dec 15, 2017.
The volume of outrage will increase as 15 April approaches.
IMHO, withholding by the guvmnt should not take place. Let the IRS send a bill at the end of the year and make everyone send them a check; then you’ll see some REAL tax reform.
Is your overall liability higher or lower than last year?
Is your overall liability as a percentage of income higher or lower than last year?
Those are the pertinent questions. Not whether you under or over withheld.
I’m getting crushed, and I suspect many people with multiple teens is as well. Not only did the lowered withholdings make me owe more, but overall my tax bill itself is noticeably higher. The elimination of personal exemptions is designed to punish parents who work anything above low-wage jobs; the doubling of the child credit only impacts children 16 and under, while eliminating the personal exemptions has made over $20,000 more of my income taxable.
Look up “who is hurt by new tax law”, and you’ll see families listed - and the larger they are, the worse the impact. Social engineering to replace Americans, while the low-income foreigners will get even larger tax refunds (because the child tax credit now works like the earned income credit, adding more to a refund than they ever paid in). Like so many of our policies/laws, this is just more war on the middle class. To think that 11 months ago people were thrilled about the “raise” they got from Trump as withholding were adjusted...
(FWIW, I live in NJ with property taxes well below the $10,000 cap; this impact I describe above will be felt across all fifty states)
They’ve plundered the dependents aspect of 2018, some for good reason (illegal infiltrators abusing the system). They’ve made it where if someone’s grandmother shakily stoops down to retrieve a penny from a parking lot she’s declared as having too much income and therefore can’t be claimed.
Because you were smart and didn't get overwithheld in the first place?
Have to pay about 200 bucks again this year (maybe a little more) - so I send the check out on April 10th. Like hell if I’m going to let them hold my cash interest-free.
Free loan is right! Be thankful they paid it back and didn’t stiff you.
You can always find some illegals a rent a kid or two,or three....that’s how they do it in the South valley! Get you some of that not earned income credit before all of it heads South across the border in remittances!
See # 10; this new law is punitive to many middle class families. I’ve benefited a little from the doubled standard deduction, but been crushed by the elimination of personal exemptions. While the reduced withholdings put in place hurt, that can be addressed by changing withholdings; what can’t be addressed is the fact that I owe a few thousand more in overall federal income taxes themselves.
I know that it probably doesn't matter right now but what were your taxes paid this year compared to your taxes paid last year? Is it less?
Also, look at reason #6 above. Things will work out better once you refine a few numbers.
I escaped NJ a Loooooonge time ago. NJ is to blame for huge property taxes. Not the Feds.
My buddies down there in Waldwick and Franklin Lakes are taking it in the shorts BIG TIME because of property taxes.
This was an unusual year for several reasons (job change, relocation, higher salary until the contract ended early). Normally, I wind up owing $100-$200 when it is all over. This year, it will be $300 but I pushed myself into a higher bracket with the new job.
I’m not unhappy about it though. So much good came from the tax changes and, I believe, I would have made money had I stayed at the old rate.
One bit of advice for those with 401Ks. If you have some wiggle room to throw some money into it, you can still do so before April 15th and claim it as a deduction on 2018 which could drop you into a lower tax bracket if you are already close to the bottom of that bracket. Lowering your overall rate is the best way to move the needle downward.
Did you read my post? I’m well under the $10,000 cap; property taxes has nothing to do with this. Many people with property taxes over $10,000 can still benefit from this law - as long as they have no children, or only young ones. The increased standard deduction helped me a little (because my property taxes weren’t that high); the elimination of personal exemptions made my taxable income much higher (and doubling the child tax credit didn’t offset it because it only applies to children sixteen and under).
Waldwick and Franklin Lakes would have much higher taxes than my area; this law probably hurt them in that respect.
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