Cap Ologist
02-14-2018, 03:55 PM
I've been trying to get a better understanding of the changes that will happen with the new tax codes, specifically the child tax credit so I can make changes to my W4.
Say to make the math easy, my tax liability is 5k. I have a daughter who is 7 and lives with me over half of the year. So, my tax liability is now reduced to 3k. If I had 5k withheld from my paycheck over the course of the year, would my refund be 2k or 1.4k? I guess, which comes from first in the calculations? The credit or the withholding?
Thanks in advance.
Say to make the math easy, my tax liability is 5k. I have a daughter who is 7 and lives with me over half of the year. So, my tax liability is now reduced to 3k. If I had 5k withheld from my paycheck over the course of the year, would my refund be 2k or 1.4k? I guess, which comes from first in the calculations? The credit or the withholding?
Thanks in advance.