The U.S. Treasury Department issued new guidance on tax withholdings from employee paychecks Thursday.
The move is part of the recently passed GOP tax plan. It's expected to produce more take-home pay for workers.
Treasury Secretary Steven Mnuchin said, "We estimate that 90 percent of wage earners will experience an increase in their take-home pay."
Democrats accused Republicans of under-withholding so taxpayers will see increases in their checks ahead of midterm elections but argue working Americans would in turn owe more when they file next year.
Mnuchin called those accusations "ridiculous."
The new guidance goes into effect Feb. 15.
