Please note:  The State, as an employer, cannot recommend or advise employees regarding their tax withholding elections.  The information provided here is informational and should be cascaded to all employees to have them consult their personal tax advisors to determine if they should make any changes.

Major tax reform that affects both individuals and businesses was enacted in December 2017. It’s commonly referred to as the Tax Cuts and Jobs Act, TCJA or tax reform.  Most of the changes in this legislation take effect in 2018 for federal tax returns filed in 2019. It is important that individual taxpayers consider what the TCJA means and make adjustments in 2018 and 2019.

The TCJA brought changes that may affect taxpayers including tax rates, exemptions, deductions, and credits.  The IRS has initiated “The Paycheck Checkup” campaign, which encourages taxpayers to review your personal withholding tax situation by using the IRS Withholding Calculator. 

Additionally, the Internal Revenue Service (IRS) has published Publication 5307:  Tax Reform - Basics for Individuals and Families.  This publication covers some of the provisions of the TCJA. It provides information for you and your family to help you understand, take action - if necessary - and comply with your federal tax return filing requirements.

State employees can view and update their current federal (W4) and state (A4) tax elections by visiting the Y.E.S. website:  www.yes.az.gov

IRS materials referenced in this story can be found here:

Publication 5307: https://www.irs.gov/pub/irs-pdf/p5307.pdf

IRS Withholding Calculator: https://www.irs.gov/individuals/irs-withholding-calculator

If you have any questions or concerns, please contact [email protected].