What the media failed to inform people when the Obamunists passed this little diddy was that all they did was tinker with the withholding tables so that you'd get $400.00 more in your net pay.
The result? If you normally got back a $200 refund in April, this April you'll owe $200.
Now, someone in the media wakes the hell up and gets it......
More than 15 million taxpayers could unexpectedly owe taxes when they file their federal returns next spring because the government was too generous with their new Making Work Pay tax credit.That should help out poor people who count on those refunds....Taxpayers are at risk if they have more than one job, are married and both spouses work, or receive Social Security benefits while also earning taxable wages, according to a report Monday by the Treasury Department's inspector general for tax administration.
The tax credit, which is supposed to pay individuals up to $400 and couples up to $800, was President Barack Obama's signature tax break in the massive stimulus package enacted in February.
Most workers started receiving the credit through small increases in their paychecks in April. The tax credit was made available through new withholding tables issued by the Internal Revenue Service.
The withholding tables, however do not take into account taxpayers with multiple jobs or married couples in which both people work. They also don't take into account Social Security recipients with jobs that provided taxable income.
More....
1 comment:
I can rest easy as I let my tax clients with 2 incomes or 2 jobs last year know that this would happen. I advised checking their withholding mid-year. This year I retired because I don't want to see what's coming through the office -- too depressing with all the unemployment & foreclosures I know are going to be there.
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