Question

2017 Congress Tax Reform Bill

Forum|Forum|5 years ago
February 20, 2021
1 reply
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Does 2017 congress tax reform bill explain why federal taxes were withheld in my 2016 and 2017 in my 1099-R statement, but no taxes (i.e. $0.00) were withheld for 2018, 2019, and 2020 for an amount under $11,000 ?

ColeenD3

NO, TCJA has nothing to do with your withholding. On possibility is that you inadvertently asked them to not withhold tax and the other is that they are making the error. Communicate with the issuer and fill out a new Form W‐4P.

Form W‐4P is for U.S. citizens, resident aliens, or their estates who are recipients of pensions, annuities (including commercial annuities), and certain other deferred compensation. Use Form W‐4P to tell payers the correct amount of federal income tax to withhold from your payment(s).

L

LenellAuthor

ColeenD3,

What is TCJA ? I did speak with a representative of the issuer. This person gave a vague answer stating that the reason could be that federal government change the law and that could have caused this issue. I did not make any changes to my exemption status. I wanted to verify what he was alluding to.