Treasury: 90% of wage earners will likely see higher take-home pay

Mnuchin Says 90% of Workers to See Increase in Take Home Pay

Mnuchin Says 90% of Workers to See Increase in Take Home Pay

In a letter to U.S. Comptroller General Gene Dodaro, Democratic Senator Ron Wyden and Representative Richard Neal said they were concerned that the U.S. Treasury could be pressured to adopt tax withholding tables that take too little federal tax out of employee paychecks to make good on White House predictions of a middle-class windfall. The tables are also aimed at avoiding over- and under-withholding of tax as much as possible.

The new withholding guidance takes into account a number of changes made by the new law, including the larger standard deduction, the elimination of personal exemptions and the new tax rates.

Senior IRS and Treasury Department officials told reporters Thursday that they would be encouraging all Americans to proactively use a new IRS tax calculator in late February to help them determine whether their paychecks are accurate.

Even though the new tables are out, the time it takes for employees to see the change reflected in their paychecks will vary.

The impact of the new tax law is expected to be a major campaign issue this year, as Republicans battle Democrats for control of the House and Senate in the November election. Top Democrats on the congressional tax-writing committees have asked the independent Government Accountability Office to also review the IRS tables to ensure that problem doesn't happen.

House OKs Foreign Surveillance Program
Well, the president created quite a bit of confusion over his position with some contradictory tweets on Thursday morning. Rand Paul (R-KY) and Ron Wyden (D-OR) both coming out against any long-term extension, and Sen.

According to the IRS, employers should begin using the 2018 withholding tables as soon as possible, but not later than February 15, 2018.

"There's never been any question about the IRS's timely, accurate withholding tables".

The IRS has pushed back tax-filing season, which will begin Monday, Jan. 29, some 10 days later than last year and about two weeks later than previous years.

In the final phase, the IRS later this year will likely make further changes that will be effective 2019. With these new guidelines, companies can start adjusting employee paychecks.

Those changes will largely be driven by changes in tax rates, tax brackets, an increase in the standing deduction and the repeal of the personal exemption.

Nicole Kidman is glowing in pink as she wins Critics' Choice Award
Call Me by Your Name and Get Out claimed film screenplay honours, the latter winning best sci-fi/horror film as well. Host Olivia Munn , left, and Niecy Nash toasted the "good guys" at the Critics' Choice Awards .

The guidelines were rushed out with such speed that, according to the Washington Post, the IRS will urge individual people to not just trust their employer, and instead use an online tool to make sure they aren't "dramatically overpaying or underpaying their taxes".

The immediate guidelines will apply to existing W4 forms. Taxpayers who have more complicated tax situations, such as those who itemize deductions, are especially encouraged to check their withholding amounts, the IRS said.

He described the new withholdings calculator as "straightforward" and "user friendly".

The IRS made clear that the new tables are created to produce the correct amount of tax withholding.

Ford Warns Against Driving Certain 2006 Ranger Pickups
Affected vehicles include certain 2006 Ford Rangers built at Twin Cities Assembly Plant from August 10, 2005 to December 15, 2005. A Takata spokesman said the company will make all attempts to ensure it can deliver replacement inflators as soon as possible.

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