The new tax law has major implications for many taxpayers. Both employers and employees should review their withholdings to assure the proper amount of tax is being withheld from their paychecks pursuant to the new tax law to assure they are neither creating a significant tax liability nor significantly overpaying taxes.
All employers should issue a copy of the recently revised W-4 to each of their employees. Withholdings for some employees may change under the new tax law. Employers should be prepared to assist employees with questions regarding the revised form W-4.
Some employees may experience significant changes to withholdings under the new tax law, particularly those taxpayers who work multiple jobs, taxpayers with children who claim credits such as the Child Tax Credit, taxpayers who itemize deductions, and taxpayers with other unique or complex issues. Many employees may find it helpful to review their withholdings using the IRS withholdings calculator: https://apps.irs.gov/app/withholdingcalculator/
In the event you have any questions regarding how to assist your employees with withholdings under the new tax law or you have any questions regarding your personal withholdings, contact your Mika Meyers attorney at 616-632-8000.