Question

Visit the IRS.gov website and find a tax law update for 2018 that interests you. Write a brief summary of the update.

Answer 1

The Internal Revenue Service have released Notice 1036 on Jan 11,2018, which updates the income-tax withholding tables for 2018 reflecting changes made by the tax reform legislation enacted last month.

Notice 1036 shows the new rates for employers to use during 2018. Employers should begin using the 2018 withholding tables as soon as possible, but not later than Feb. 15, 2018. They should continue to use the 2017 withholding tables until implementing the 2018 withholding tables.The new withholding tables are designed to work with the Forms W-4 that workers have already filed with their employers to claim withholding allowances. This will minimize burden on taxpayers and employers.Many employees will begin to see increases in their paychecks to reflect the new law in February. The time it will take for employees to see the changes in their paychecks will vary depending on how quickly the new tables are implemented by their employers and how often they are paid.