Individuals may have paid more taxes this year due to changes in income or tax breaks.

From Yahoo Finance: 2025-05-16 16:02:00

During tax season, unexpected IRS tax bills may arise due to changes in income, such as raises or multiple jobs. Updating your Form W-4 can help adjust tax withholdings, ensuring a balance of zero for a better financial outcome. Aim to avoid overpaying for a potential refund and consult with tax professionals for guidance.

Loss of tax breaks or changes in qualifications can result in owing more taxes. Understanding deductions, credits, and filing statuses is crucial for maximizing savings. Self-employment income, capital gains, and traditional retirement account withdrawals can also impact tax bills. Seek expert advice to navigate complex tax situations and minimize liabilities.

Read more: 6 Reasons You Paid More Taxes This Year (and What You Can Do About It)