As already mentioned in this post ... if you overpay your tax liability with withholdings & credits then you get the excess back ... this is known as an income tax REFUND. The tax return is simply one long math problem ... simply put ...
Total Income - (adjustments + exemptions + deductions ) = taxable income x tax rate = federal Tax liability
Federal Tax liability - nonrefundable credits (like the solar credit) = line 22 on the form 1040
Line 22 + other taxes (like SE taxes) = total tax liability - payments (withholdings & refundable credits) = refund or balance due
What you have withheld from your paycheck is only taken into consideration at the very end of this calculation. You can adjust what you have withheld if you have a non refundable credit come into play however if you do then make sure to adjust it back the next tax year or you will find yourself owing on the next year's return. If I were you I would not change anything and just enjoy the extra large refund on this return.
