By Gary G. Wallace, CPA, Managing Partner
Individual Tax Considerations
Keiter’s Tax Practice Leader, Gary Wallace, was recently quoted in the following Richmond Times-Dispatch article written by Gregory J. Gilligan Richmond Times-Dispatch.
Excerpt:
“…For example, a single taxpayer who is paid monthly earning $75,000 annually with one exemption will likely see about $2,200 annual reduction in federal withholding this year compared with last year, according to calculations by Gary Wallace, the tax practice leader at Henrico-based accounting firm Keiter.
A married worker with two allowances earning $75,000 a year would see about $1,600 less taken out of his or her paycheck, he said.
“The big take away for these changes is that not only did tax rates and withholdings change, the tax act made other significant changes that also need to be considered, mostly around the law changes in the areas of deductible interest and state and local taxes,” Wallace said. “Since the standard deductions were increased, some taxpayers may no longer need to itemize deductions.”
All taxpayers should take a look the new IRS calculator when it becomes available later in February to ensure they are having the correct amount withheld, Wallace and other tax experts say. And they should update the information on their W-4 after the IRS releases a revised version later this year.”
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Each taxpayer’s situation is unique and you should speak with your tax advisor before making any decisions. If you have any questions, please contact your Keiter representative or Email | Phone: 804.747.0000. We are here to help.
We will continue to share our insights on the finalized tax changes for businesses and individuals in the coming months. Sign up for our newsletter to stay informed on tax and other accounting topics.
Additional Individual Tax Planning Resources
- New Tax Law: What You Need to Know
- AMT Changes to Individuals and Businesses
- Tax Cuts and Jobs Act Resource Guide
Sources
Richmond Times-Dispatch
Photograph: RTD/THINKSTOCK
About the Author
Gary G. Wallace, CPA, Managing Partner
Gary provides tax and business advisory services to business and individual clients. He has advised clients in various aspects of restructurings, including tax aspects of debt workouts and foreclosures, forgiveness of indebtedness, bankruptcy restructurings and liquidations, establishing liquidating trusts and partner-partnership transactions. Gary also has significant knowledge and experience in individual taxation, business taxation, and advising clients on all aspects of tax matters. He is the Managing Partner of the Firm.
More Insights from Gary G. WallaceThe information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.
