Home » Economy » Tax season 2020 should be 'dramatically smoother' than last year, experts say
Tax season 2020 should be 'dramatically smoother' than last year, experts say
This is the 401(k) tax cut election: Grover Norquist
Americans for Tax Reform President Grover Norquist discusses the Trump administration’s planned tax cuts and its focus on improving Americans’ IRAs, 401(k)s and saving accounts.
This year's tax season, the second filing under the Tax Cuts and Jobs Act, has industry experts much more at ease — but some taxpayers may still face surprises if they did not take action to modify their withholding since last year.
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"Tax season is never easy – but relative to last year, which was monumentally difficult – we didn't have a government shutdown leading into tax season, we knew what the law was … all that difficulty that was part of implementing the Tax Cuts and Jobs Act is behind us so it should be a smoother tax season," Ryan L. Losi, executive vice president of PIASCIK, told FOX Business.
Last year's tax season began after the chaos of a record-long partial government shutdown, as the IRS was tasked with administering the sweeping changes enacted as part of the 2017 tax reform law for the first time.
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As a result, there was confusion not only among taxpayers – but also among preparers. For example, software used by tax preparers hadn’t been updated to incorporate ongoing changes implemented throughout the season – like a penalty waiver for those who paid withholding and estimated tax of at least 80 percent of the amount they owed (normally the amount is 90 percent).