Millions of Americans Face Lower Tax Refund Check
Millions of Americans could face a shocking tax season.
According to the Internal Revenue Service, the drop in federal reimbursement stems from President Donald Trump’s new tax bill. New figures from the IRS reveal the average tax refund dropped 8.4 percent from $2,035.00 in 2018, to $1,865.00 in 2019.
According to the IRS, 30 million Americans will be writing checks, rather than cashing them, which is 3 million more than if President Trump’s tax law had not passed.
Many people who had expected refunds and are having to pay instead have taken to social media to share their frustration, NBC News reported. Three groups that were particularly affected were tax filers who itemized, those with dependents, people and retirees, according to CNBC.
"The people who are most likely to be surprised this year are the ones who lost some deductions they had last year and who didn't make changes to their withholding," Nathan Rigney, lead tax research analyst at the Tax Institute at H&R Block, told CNBC.
There is still time to make last minute deductions. Contributions to an individual retirement account, or a health savings account, could help reduce your taxable income for this filing season if you qualify.
The IRS offers a withholding calculator to help you decide whether to adjust your W-4 ahead of this time next year.
from NBC New York - Top Stories http://bit.ly/2DqI5w9
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