Withholding debacle
I think many of you have noticed that both the government and the state made mistakes in your withholdings As a result you may not have had enough withheld for either the federal or the state. If you are married the government gave you a break in your withholding for the "Making Work Pay Credit." However, they gave both you and your spouse, if working, the same break. When you do your taxes you only get one break.
The state raised the tax rates but did not raise their withholding to cover that. Also, the exemption amount you get for each child is $200 less. That means your taxes go up by $200 for each dependent you have.
