You may know that Congress approved major tax reform in the Tax Cuts and Jobs Act (TCJA) on Dec. 22, 2017. The IRS is currently working on implementing this complex tax legislation that will affect both individuals and businesses. In light of the extensive list of items under the TCJA, particularly those affecting individuals, the Taxpayer Advocate Service has created the Tax Reform Changes website.
How can the Tax Reform Changes website help me?
The Tax Reform Changes website shows taxpayers – you – how the new tax law may change future tax filings and helps everyone plan for these changes. It even includes line-by-line explanations and scenarios to describe how the new law may affect you.
Our mobile-friendly site specifically identifies key tax return items under current tax law (2017) and shows the TCJA changes that took effect for 2018 that will be reflected on individual tax returns filed in early 2019. Plus, it’s designed so everyone can also easily see what items have and have not been changed.
What’s most important for me to know?
What is very important to know is that the TCJA has many changes that will directly affect the amount of taxes you will owe for this year. The TCJA also changed tax withholding rates for 2018. These changes mean there is a significant chance you may not be having enough of your pay withheld to cover taxes this year.
So, all individuals who are employed should take a moment, whether you review our site first or not, to check their federal income tax withholding amounts. If you need to make changes, simply submit a new Form W-4, Employee’s Withholding Allowance Certificate. You can use the link to the IRS Paycheck Checkup page from our Tax Reform Changes website to do that now.
Can I subscribe to get the latest updates?
Yes. Because the IRS is still in the process of issuing guidance on some TCJA items, the website has been designed to incorporate updated information as it becomes available. So you, your family, friends, and other taxpayers can sign up to receive alerts to stay informed of new TCJA information as it is added. Simply select the purple Subscribe button at the top of the site.