The year 2018 brought a host of changes to the tax code, leaving countless taxpayers just as confused as they were under the old version. Here are a few tips that will help you lower your IRS bill and avoid tax-related hassles down the line.

Check your tax withholding this Summer to prevent a tax-time surprise

Taxpayers who’ve itemized deductions and/or owed additional taxes when they filed their 2017 federal tax return earlier this year can avoid another unexpected tax bill next year by doing a “paycheck checkup” as soon as possible, according to the IRS.

The Tax Cuts and Jobs Act, the tax reform legislation passed in December, made major changes to the tax law, including increasing the standard deduction, removing personal exemptions, increasing the Child Tax Credit, limiting or discontinuing certain deductions and changing tax rates and brackets.

These far-reaching changes could have a big impact on the tax refund or balance due on the tax return people file next year. The IRS encourages every employee to do a “paycheck checkup” soon to ensure they have the correct amount of tax taken out of their pay.

Checking and adjusting withholding now can prevent an unexpected tax bill and penalties next year at tax time. The IRS Withholding Calculator, Tax Withholding and Estimated Tax, can help.

Max out your retirement plan contributions

Any time you fund a traditional IRA or 401(k), the money you put in is exempt from taxation for the year you make that contribution. In other words, if you put $1,000 into your 401(k) this year, you won't pay taxes on that $1,000 of income when you file your 2018 return. Better yet, if you manage to max out your IRA or 401(k) for the year, you'll shield that much more money from the IRS. (Income limitations apply)

Day camp receipts with valid Tax ID numbers

Don’t forget about day camp costs during the summer. The IRS allows you to count those days toward your child care credit claim. Remember, those overnight camps don’t count, only day camps. Qualified young campers must be younger than 13. The credit is limited to 20%-35% of qualified expenses. The percentage depends on your adjusted gross income (AGI). Other requirements and limitations apply. To learn more, see Publication 503: Child and Dependent Care Expenses.

Please check out our latest Tax Newsletters for more information and updates. Happy Summer!