Tax reform legislation enacted in December, 2017 makes a number of changes for 2018 that affect individual taxpayers. The IRS has released the 2018 Form W-4, and has updated the IRS withholding calculator in order to assist taxpayers in determining the appropriate withholding allowances for the 2018 tax year.
The IRS specifically encourages taxpayers who fall into the following groups to double-check their withholding:
- Two-income families;
- Taxpayers with two or more jobs at the same time or who only work for part of the year;
- Taxpayers with children who claim credits such as the child tax credit;
- Taxpayers who itemized deductions in 2017; and/or
- High-income taxpayers and those with complex tax returns.
Below are links to the 2018 Form W-4 and IRS withholding calculator. While the IRS has stated that employees are not required to make any changes, they have strongly recommended that employees review their withholding to make sure it is accurate.
To access the IRS withholding calculator please use this link.
To view the 2018 Form W4 click on this link.
Please send new W-4 forms to the payroll department at least 10 days prior to the pay date you would like the change to take effect. If you have any questions please contact the payroll department at email@example.com.