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Why do I owe state taxes?

The past years I have always gotten a state refund. This year I owe almost a grand and have not changed anything besides I am making more money now. I don’t understand how this happens 

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2 Replies

Why do I owe state taxes?

No one else can see your tax return.   More income = more tax.    Did you change your withholding amounts for state tax when your income increased?  Double check all of your income and tax withheld entries for box 16 and 17 of your W-2's.   Going forward you may need to have the employer withhold more state tax.

 

And print out your 2020 and 2021 state returns so you can compare them side by side.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Why do I owe state taxes?

Making more money can put you in a higher tax bracket, which can cause to have a lower refund or owe taxes.  

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