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2/10/2019 8:16 am  #1


Average tax refund down 8% so far this season

Average tax refund down 8% so far this season

(CNN)Tax season is off to a slower start this year, with early filers seeing smaller average refunds.

The average refund is down about 8% under the first full year of the overhauled tax code, according to data released by the IRS on Friday. Refunds averaged $1,865 compared to $2,035 for tax year 2017.

The total number of returns received also dipped during the first week of the season ending February 1, down from about 18 million to some 16 million so far in 2019.

This season will be watched closely to gauge the real impact of the Republican-led tax overhaul in 2017 that ushered in the most sweeping changes to the tax code in 30 years.

The new rules lowered most individual rates and nearly doubled the standard deduction. The legislation also included sweeping tax cuts for companies, lowering the corporate rate to 21% from 35%.

Some workers saw a bump in their take-home pay after employers started using the new IRS income tax withholding tables.

But experts have said people could see smaller refunds than expected if they didn't adjust their paycheck withholdings after the changes took effect. Others could see their tax burden increase because the revised code eliminated some popular deductions.


We live in a time in which decent and otherwise sensible people are surrendering too easily to the hectoring of morons or extremists. 
 

2/10/2019 11:20 am  #2


Re: Average tax refund down 8% so far this season

While I have to wait till my final numbers come in from my taxable accounts, I have plugged in the numbers so far and my refund this year is only slightly more than last, BUT I expect it to come down and perhaps even be LESS once the taxable account info comes in. 

So far, in terms of what the POTUS claimed, the net result has been basically a "bust". 

We will see if others that post here are finding the same thing or not. 


"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
 
 

2/10/2019 2:49 pm  #3


Re: Average tax refund down 8% so far this season

A large tax refund indicates poor planning and even poorer judgement:   Giving the Feds an interest-free loan for 12 months.

Better to adjust the withholding and have the difference deposited into a secondary savings account.


Life is an Orthros.
 

2/10/2019 3:53 pm  #4


Re: Average tax refund down 8% so far this season

Tarnation wrote:

A large tax refund indicates poor planning and even poorer judgement:   Giving the Feds an interest-free loan for 12 months.

Better to adjust the withholding and have the difference deposited into a secondary savings account.

I totally agree, Tarnation. I also discovered another reason to avoid over withholding.

When I filed my 2015 return I was due a refund of a little over $1,200. Unfortunately, we were victims of identity fraud that year. Someone stole my wife's SSN and used it to file a fraudulent return. Apparently it was a pretty common scheme a few years ago.

Anyway, the IRS refused to issue my refund check until everything got straightened out. Long story - involving many letters - short I didn't receive that check until October 2018. Since 2015 I have been extremely careful to keep my withholding lower. Hey, it's no fun writing the IRS a hefty check in April, but I figure that it's better if I owe them money than me waiting on them to give me my own money back.

Last edited by Goose (2/10/2019 3:56 pm)


We live in a time in which decent and otherwise sensible people are surrendering too easily to the hectoring of morons or extremists. 
     Thread Starter
 

2/11/2019 10:06 am  #5


Re: Average tax refund down 8% so far this season

tennyson wrote:

While I have to wait till my final numbers come in from my taxable accounts, I have plugged in the numbers so far and my refund this year is only slightly more than last, BUT I expect it to come down and perhaps even be LESS once the taxable account info comes in. 

So far, in terms of what the POTUS claimed, the net result has been basically a "bust". 

We will see if others that post here are finding the same thing or not. 

I agree, BUT that is not the point of the article. 
 


"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
 
 

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