Federal tax cut creates some confusion

There’s still a lot of confusion about the federal tax cut that passed this week. For Iowans with children who are still wondering what they’ll be getting and when, I-R-S spokeswoman Donna Migazzi says the maximum parents receive is 400-dollar per child and up to 800-dollars for two children. Some 275-thousand Iowans are eligible for this credit and the money will automatically start arriving the end of July and with all the money distributed by the end of August. Migazzi says there is also a reduction in the federal withholding tax, which will help virtually every Iowa taxpayer.She says we’ll all be getting more money in take-home pay as the tax rates have been reduced. Migazzi says there are other benefits for Iowans in the new tax measure.There’s relief from the so-called “marriage penalty” as the standard deduction for married people who file taxes jointly has been doubled when compared to the single rate.