Ministers (many employees really) are finding they owe unexpected money on their federal tax returns or their refunds are reduced, in large part due to the 2018 Tax Cut and Jobs Act. A change in the tax withholding tables made it appear that the Act had provided an income boon to the employee, but really just redirected tax refund money into their paycheck. That’s fine if you were expecting it and prepared for the change on your return, but very few did. Please be advised that 2019 income taxes will be affected in the same way. If you don’t want to be caught unaware when you do your return in 2020, talk to your employer about changing your withholding this year.
If you need help preparing your 2018 taxes please contact us for assistance.