Federal Tax Day – Current,I.2,IRS Reminds Individuals to Check Tax Withholding (IR-2015-120),(Oct. 23, 2015)
Individual taxpayers are reminded to check their tax withholding to assess their tax liability as they begin planning to file their 2015 returns. Taxpayers should try to match their withholding with their actual tax liability. If not enough tax is withheld, taxpayers will owe tax at the end of the year and may have to pay interest and a penalty. If too much tax is withheld, taxpayers will lose the use of that money until they get their refund. Besides wages, income tax is often withheld from other types of income, such as pensions, bonuses, commissions and gambling winnings.
The IRS recommended that taxpayers check their withholding: (1) when they get a big refund, or find that they have an unexpected balance due; (2) any time there are personal or financial changes that might affect their tax liability, such as getting married, getting divorced, having a child or buying a home; and (3) when there are changes in federal tax law that might affect their tax liability.
Contact us for assistance with evaluating your withholding from a household perspective at 228-396-2996.
