With employment in America at high levels, many two-income families and taxpayers with multiple jobs should perform a "Paycheck Checkup."
In IR-2019-97, the Service explained why these taxpayers should check their withholding amounts. Because 2018 was the first year for full implementation of the massive changes in the Tax Cuts and Jobs Act, many taxpayers overwithheld and received substantial refunds. Some taxpayers underwithheld and had to pay a large tax bill. A few of the taxpayers with large tax payments also paid penalties for underwithholding.
The Service stated, "The Tax Cuts and...More