Are Form 2350 Refund 2023-2024

Welcome to Home Biz Tax Talk. My name is Lissandra Everett, and I am the Home Biz Tax Lady. I help home business owners win the tax game. Home Biz Tax Talk airs Monday through Friday at around 9:00 o'clock. When you tune into my show, you will hear about topics that are important to the home business community right now. The hot topic right now is all about tax refunds. Many people are getting phone calls and emails expressing frustration about their refunds. They are saying that their refunds are not like what they were in previous years or what they expected based on using software like TurboTax, Tax Act, or H&R Block. They are either seeing a lower refund than usual or a higher tax liability. So, why is there this change? Let me explain. There are several reasons for these differences in your tax numbers. Firstly, if you saw a little more in your paycheck when the tax reform was enacted, that little more was actually a part of your tax refund. Each tax bracket received a tax reduction, so that extra amount in your paycheck was an early refund throughout the year. Secondly, employee expenses have been removed. This affects people in various professions like police officers, firemen, military personnel, salespeople, and real estate agents. These individuals were able to itemize their expenses, which included home office expenses and mileage deductions. However, with the removal of the Form 2106, they can no longer deduct these expenses. This change has resulted in a reduction in tax refunds for many people. Another factor is the removal of personal exemptions. Before 2018, each person could claim a personal exemption of $4,050. This exemption, along with the standard deduction, reduced taxable income for many individuals. But now, the exemption is gone, leading to higher...