Consultant says tax payers will pay more taxes this year
A local group of Imperial Valley business professionals said they want to help people understand better their tax options. They held a workshop on Wednesday evening in El Centro.
Tax Consultant Maggie Magallanes said, “I see that it’s going to change in a way that we are going to pay more taxes. And actually one of the things that the IRS is encouraging is that tax payers should do a quick paycheck check-up because we are going to be paying more taxes.”
She meant tax payers should go over the information on their W4 forms, making sure the allowances information is the one they want.
“If I were an employee – I have two daughters – I would put zero. So I can get more money pulled from my check. So that at end of the year not pay taxes or get that refund back to me,” Magallanes said.
She said people should expect many changes on tax laws this year. She said congress is not done yet making or publishing those changes.
“Some changes increased in center deductions family tax credits; changes on mortgage, state and local taxes to the corporate taxes and money, and many other provisions,” Magallanes said.
She urges tax payers to keep their healthcare coverage.
“For the year 2017 the penalty is 2.5 percent. Fines are going to go away but not immediately. So don’t drop your insurance now. There will be changes in 2019,” Magallanes said.
She warns of scams during tax season.
“I have many people that have come to me saying, the IRS called me. They told me I need to pay now. I need to pay the IRS. The IRS doesn’t call you. They send you a letter. So these are people who are scamming tax payers,” Magallanes said.
She said tax payers could pay fewer taxes if they plan ahead.
“Don’t wait until it’s tax season to try to change or do something to not pay more taxes. Be prepared. Tell your tax lady, what can I do to not pay more taxes next year? Magallanes said.
Magallanes said she and her team of business professionals see themselves teachers serving the community more than consultants.
“It feels great just to simply explain how taxes work, how to provide information. I feel great just helping people,” Magallanes said.
