Cecil Bostany is a Member in Warren Averett’s Tax Division and a leader in the Firm’s Life Sciences & Technology Practice Group. In a recent interview with Birmingham television station ABC 33/40, he addressed a Tax Reform provision that can significantly impact individuals and their annual returns.
According to the story, “Millions of Americans need to consider a paycheck check-up and fast. If you’re among the millions withholding less taxes than you should be, you could be in for an unexpected tax bill thanks to changes in the tax law.”
‘You may have a big surprise at the end of year,’ explains Bostany. The government estimates 30 million people aren’t having enough taxes withheld. ‘Twenty to twenty-five percent of the population, that’s a lot of people,’ remarks Bostany.
The IRS recently launched a new withholding calculator to help you figure out whether you’re having enough, or too much, tax taken out. Plan to spend an hour or so filling out the information and have last year’s tax return handy along with a recent pay stub. It’s also recommended you run your calculations by your tax preparer.
By doing a review now, you will have time to make adjustments. You can file a new W-4 form with your employer to change your withholding.
Warren Averett is dedicated to keeping you informed of the changes in the new tax law. Learn more about our tax reform services or contact your Warren Averett advisor today.