As some Americans are already discovering, certain people will be more affected by tax reform than others, and not all the surprises are pleasant ones.
The Tax Cuts and Jobs Act, passed in December 2017, enacted a number of broad changes: It introduced new tax brackets, included an expanded child care credit and changed the way itemized deductions are factored in, for example.
Going into this tax season, about 28 percent of Americans don't understand exactly what changed and almost half have no idea how the changes affect their tax bracket. Adding to that uncertainty are reports that, during the first week of tax filing season, the average tax refund is down 8.4 percent.
"Taxpayers should definitely adjust their expectations when it comes to their tax refunds this filing season," says Logan Allec, a CPA and owner of the personal finance blog Money Done Right.
Here's who's most at risk for a lower refund this year: