Video instructions and help with filling out and completing Where Form 843 Refund

Instructions and Help about Where Form 843 Refund

Some taxpayers taxpayers excuse me are taking to Twitter to vent frustrations over their tax refunds or lack thereof one user saying did my taxes same filing for the past 14 years I usually get 1000 to 1200 back this year I owe $245 so why are people seeing this change joining us now to explain a senior personal finance correspondent Sharon Epperson welcome this is a important story it is an important story Sarah you know the IRS just released updated numbers on this year's filing season the report shows that the amount of the average tax refund fell roughly 9% from a year ago to 1949 dollars now keep in mind it's still early in the season the total number of returns process is also lower than it was this time of year but what's behind the smaller refunds one big reason for the drop is the tax cuts and Jobs Act which brought about the most sweeping changes to our tax code in 30 years now as part of the Arve overhaul many companies lowered the amount of federal taxes they withheld from employees paychecks and one Treasury official told CNBC in a statement that most people are seeing the benefits of the tax cut in larger paychecks throughout the year instead of tax refunds that a result of people overpaying the government and there are other reasons why some may see smaller refunds or owe money the new law eliminated several deductions such as unreimbursed business expenses and limited others like the deduction for state and local taxes the salk deduction which is now capped at $10,000 these changes may increase your taxable income and as a result your tax bill so now if you're caught off guard this year think about consulting a professional who can walk you through the specific tax situation that you have suggest changes so that you're not surprised again because many people are just baffled by what's happened right I mean you know I can recall years ago the CEO of H&R Block said that for a lot of their customers the tax refund is kind of the biggest financial event of their year right it's a one-off thing that comes and you count on it right if you live more or less paycheck to paycheck you thought that was hanging out yeah yeah and if you are planning to take a vacation pay off your credit card bill from the holidays all these things that you used to use your tax refund for you're not able to do that because it's so much smaller or it's not even there you you