If that is the case, you'd be better off not adjusting any tax withholding. Hopefully it's easy enough to decline the deferral. I could see a deferral helping some people who are very strapped now, but for a lot of people you'd be in for a big butt fucking when filing 2021 taxes.
You don’t understand, next year congress will have to slash the government expenditure to prevent from having to collect that money from this year, or they will be defenestrated.
I don't think it would be that extreme. I'm not sure when the deferral would end, but basically it would mean the taxes you would have been paying anyway would be owed at some point.
So if the deferral is for 2020 taxes, that means that you're basically getting a loan from the fed on your taxes until April. So if you would have paid 10k in taxes from now until Dec 31, that amount would be due when the deferral ends.
Perhaps there might be some sort of payment plan you can do on the deferral so you're not stuck with a huge tax bill come April. If there isn't, you would likely see everyone's refunds evaporating in April and potentially many people owing some money back to the fed.
Most savvy people would take the deferral and invest the money elsewhere for a bigger return and then just pay at tax time. But that type of micromanagement isn't for everyone.
If that is the case, you'd be better off not adjusting any tax withholding. Hopefully it's easy enough to decline the deferral. I could see a deferral helping some people who are very strapped now, but for a lot of people you'd be in for a big butt fucking when filing 2021 taxes.
Interested to hear more at least.
Oh you trust them to do the right thing down the line...yeah, don't hold your breath.
You don’t understand, next year congress will have to slash the government expenditure to prevent from having to collect that money from this year, or they will be defenestrated.
Or tarred and feathered. Or drug through the streets using a horse high on angel dust.
You know, peaceful protests.
Math isn't your strong suit, huh?
I don't think it would be that extreme. I'm not sure when the deferral would end, but basically it would mean the taxes you would have been paying anyway would be owed at some point.
So if the deferral is for 2020 taxes, that means that you're basically getting a loan from the fed on your taxes until April. So if you would have paid 10k in taxes from now until Dec 31, that amount would be due when the deferral ends.
Perhaps there might be some sort of payment plan you can do on the deferral so you're not stuck with a huge tax bill come April. If there isn't, you would likely see everyone's refunds evaporating in April and potentially many people owing some money back to the fed.
Most savvy people would take the deferral and invest the money elsewhere for a bigger return and then just pay at tax time. But that type of micromanagement isn't for everyone.