On this Tax Day, we thought it important to look at the “middle class tax cut” brought to you by the GOP in 2017.
Seth Moulton (D-Ma) sent out a letter to supporters this morning saying:
“The average American’s tax refund is a staggering 16% lower than last year’s. Meanwhile, the top 1% are enjoying an average tax cut of $50,000.”
The overhaul of the tax code has thrown us all for a loop. The New York Times writes:
“Many taxpayers were upset when they found out that they owed money to the federal government, even if their tax burden was lower.
“And if taxpayers don’t adjust their paycheck withholdings, next year could bring an even bigger shock.”
Updating your withholding is the key. The numbers are evening out as more people file, according to the Times, but the numbers are still down and a million fewer taxpayers will be receiving refunds this year.
The Times writes: “Whether or not you owed for 2018, now is the time to update your withholdings. The I.R.S. suggests performing a “paycheck checkup” annually to avoid surprises. Big life events like getting married or having a child are other reasons to go through this exercise again.”