The Making Work Pay Credit will not be available for 2011. This credit, which expired at the end of 2010, provided a reduction in taxes for wage earners of $400 ($800 if filing jointly). Since the credit has been discontinued, it would be wise to adjust your withholdings now before too much of the year passes by.
If you do not make a change to your withholdings (W4), you will pay an additional $800 (if filing jointly) for 2011 when you file your taxes in 2012. Self-employed individuals who file jointly will need to add $800 to their total estimated tax payments for 2011.
LFC can help work through the W4 process. Please contact the office if you need assistance.
Office: 651 204 6577
Source: www.jklasser.com
