contestada

Suppose you filed your taxes and received a small refund from the IRS. What would have been the impact on the refund amount if you had decreased the W-4 allowances for that tax year?

Respuesta :

the refund amount will have increased.
w-4 is the form that you signed so your employer could withdraw a portion of your payment to be alocated to federal income tax. The fewer W-4 allowances you take, the more is withheld from your paycheck for tax purposes because the amount of tax payment that you have to pay is also increasing.

peterdaly
If you decreased your W4 allowances then more tax would be taken off your paycheque and the result would be that you would receive a larger refund which is a pleasant thing to happen and ensures that you will not have to pay more taxes and represents a little savings also.