We’re nearly two weeks away from the end of the year - just two weeks! Honestly, where does the time go? Tax season typically begins again at the start of the new year, but you still have time right now to make changes regarding your tax situation.
If you received either a large tax bill or a substantial tax refund this past year, that means one of two things: you either didn’t have enough taxes taken out of your paycheck, or you had too much come from your pay. The good news is you can adjust these amounts.
Change Your Withholdings
The IRS has no limits on how often you change your withholdings; however, your employer or payroll office may impose restrictions - you should check to be sure. And be well-informed of the long-term effects of the changes you’re willing to make.
While overpaying the IRS isn’t a drastic nuisance, it does allow the government interest-free access to your money which you could probably have used at that time. Conversely, paying the IRS too little can lead to all sorts of trouble like an under-withholding penalty and interest added to your tax bill - consult with a tax professional about your options.
File IRS Form W-4
Whatever you decide to do, it’s as simple as submitting a new W-4 form to your employer or payroll office. The IRS even offers an online withholding calculator which produces proper amounts that should come from your paycheck. If you plan on using it, be sure to have
- Your most recent pay stub available
- Your last income tax return available
- Estimated values, if applicable - results are only as accurate as the information you provide
Married couples with combined income should also coordinate separate withholding amounts to avoid underpaying the IRS - seek your local tax advisor for more details.
More Time to File Income Tax
Whether you decide to change your tax situation now or closer to tax season, you can receive extra time to file your income tax return. With ExpressExtension.com, you can securely transmit IRS Form 4868 in just a few minutes and get approved for an automatic 6-month extension.
Nowhere near a computer - not a problem! Download our FREE Express 4868 mobile app for your favorite iOS or Android device and conveniently e-file from anywhere at any time. After transmitting, you’ll receive an approval email and copy of your submitted return.
Contact our U.S - based customer support team for any questions or assistance with e-filing personal tax extensions with the IRS - call us at 803.514.5155, Monday through Friday from 9 a.m. to 6 p.m. EST. You can also reach us via email with support@ExpressExtension.com.