Heads up on the Making Work Pay tax credit (Barack Obama, how much, dollars)

[vec101]

Heads up: If you are receiving the Making Work Pay tax credit you may want to read the entire article at Yahoo and do the IRS withholding calculator they have a link to.

Looks like there is a "glitch" which may have you repaying some of that tax credit come next April 15th.

Article at INSIDE WASHINGTON: Taxpayers to get rude surprise - Yahoo! Finance (http://finance.yahoo.com/news/INSIDE-WASHINGTON-Rude-apf-15091434.html?.v=1 - broken link)

But new tax withholding tables issued by the IRS could cause millions of taxpayers to get hundreds of dollars more than they are entitled to under the credit, money that will have to be repaid at tax time. INSIDE WASHINGTON: Taxpayers to get rude surprise - Yahoo! Finance (http://finance.yahoo.com/news/INSIDE-WASHINGTON-Rude-apf-15091434.html?.v=1 - broken link)

Millions of Americans enjoying their small windfall from President Barack Obama's "Making Work Pay" tax credit are in for an unpleasant surprise next spring. INSIDE WASHINGTON: Taxpayers to get rude surprise - Yahoo! Finance (http://finance.yahoo.com/news/INSIDE-WASHINGTON-Rude-apf-15091434.html?.v=1 - broken link)

[cleanhouse]

Originally Posted by vec101

Heads up: If you are receiving the Making Work Pay tax credit you may want to read the entire article at Yahoo and do the IRS withholding calculator they have a link to.

Looks like there is a "glitch" which may have you repaying some of that tax credit come next April 15th.

Article at INSIDE WASHINGTON: Taxpayers to get rude surprise - Yahoo! Finance (http://finance.yahoo.com/news/INSIDE-WASHINGTON-Rude-apf-15091434.html?.v=1 - broken link)

Yes this is from the Tea Party thread above:

Quote:
Originally Posted by TexanByBirth
"He said the Treasury Department has begun directing employers to reduce the amount of taxes withheld from people's paychecks in accordance with the new law, and that in six weeks, a typical family will start taking home at least $65 more every month." -- Obama: Tax cuts will be felt by April 1 - White House- msnbc.com


While we're on the tax subject, does this not mean that we will be paying more when taxes are due? Sorry, but this thread got me interested in his tax plan.

You bet it does. I read that the IRS is warning people who received refunds this year that next year they can expect less in the way of a tax refund. It is a cruel humiliating joke. The Administration thinks we are all idiots. Anyone can change how much they withhold during the year. Then you just make up for it on April 15th.

[vec101]

Evidently not too many people are worried they may have to pay next year instead of getting a refund nor are concerned about getting less back next year.