You have probably seen all the stories in the mainstream media about how the average refund on tax returns so far this year is down about eight percent according to data released Friday by the IRS. Refunds are averaging about 19-hundred dollars this year. At the same point last year it was more than two-thousand dollars.
Most of the stories are somehow blaming President Trump for the smaller refunds.In a way they are right, but instead of blame they should be giving the President some credit. You see this is the first year that the Republican-led tax overhaul of 2017 is impacting returns. Because of the overhaul, workers got a big tax break. So if the federal government is taking less in taxes from paychecks, simple arithmetic shows that refunds will be lower.