We are still waiting for the House and Senate to reconcile the differences between their two tax reform bills. It is possible that it won’t happen until right before Christmas so I am going to discuss some of the possible changes before then. The Senate bill has seven tax brackets for individuals with rates ranging from 10% to 38.5%. The House bill has four tax brackets ranging from 12% to 39.6%, retaining the top rate under current law. The House bill would repeal AMT for i

Today we will review some tax rate changes and new taxes for the 2013 tax year. A new top individual tax rate of 39.6% is imposed on taxable income over $400,000 for single filers and $450,000 for married taxpayers filing jointly. The personal exemptions and itemized deductions phase-out is reinstated at a higher threshold of $250,000 for single taxpayers and $300,000 for married taxpayers filing jointly. A 20% rate applies to capital gains and qualified dividends for individ

Today we will take another look at three changes that were first effective on January 1, 2013. Individual Tax Rates All the prior individual marginal tax rates are retained (10%, 15%, 25%, 28%, 33%, and 35%). A new top rate of 39.6% is imposed on taxable income over $400,000 for single filers and $450,000 for married taxpayers filing jointly. Phaseout of Itemized Deductions and Personal Exemptions The personal exemptions and itemized deductions phaseout is reinstated at a hig

Now that Congress has acted, we want to break down the key issues of the American Taxpayer Relief Act, which is also referred to as the Fiscal Cliff Bill. Here's a breakdown of the key issues. Individual Tax Rates All the prior individual marginal tax rates are retained (10%, 15%, 25%, 28%, 33%, and 35%). For single filers with taxable income of over $400,000 and married couples filing jointly with over $450,000, a new top rate of 39.6% is imposed. Phaseout of Itemized D