New Tax rates

According to recent reports, there are some big changes coming to your tax this coming year.

1) The American Taxpayer Relief Act was established in 2012. There has been on minor change to this amendment. There is a 7th one included now. According to reports, these filings now fall under the 39.6% bracket.
a) Married Filing Separately, making $228,800
b) Unmarried Filing Separately, making $406,750
c) Head of Household, making $432,200
d) Married Filing Jointly, making $457,600

THE-TAX-RATES-OF-2015Tax gifting limits: IRS has raised the limit in 2015 on tax-free transfers at death or during life, known as the basic exclusion. The max gifting limits for 2015 will go up from $5.34 million (in 2014) to $5.43 million per person (in 2015). Should you exceed this limit, you (or your heirs) will pay taxes of up to 40%. The ATRA also made some recent changes to the capital gain tax. Depending on how you filed last year, things might have changed.

1) The Income Threshold–For those who are in the 10-15% categories, you will make 0% payments on those dividends which are eligible and most other capital gains.
2) The Qualifying Dividends–If you have received any sort of income under this category, it’s going to be taxed just like long-term capital gains are.
3)The Tax Rate–If you fall under the 25, 33 and 35 percent brackets, your payouts on capital gains will be about 15%.
4)The Tax Rate– If you fall into the 39.6% and above, you will have to payout about 20%.
If you are single or married and filing together, you will need to pay a 3.8% medicare surcharge on the gains. Now this rule only applies if you are making $250,000 a year and over. For those who are making less then this, you don’t need to worry about it.

STANDARD DEDUCTIONS – Let’s look at some of the new information that has come up with the standard deductions. According to several statistics, at least 2-3 people in every household just goes with the standard deductions during tax time. This information will be of particular interest to those individuals.
1) Single– If you are single and making $6,200 or less, you will get back a credit of at least $100.
2) Married, but filing separately—If you are making $6,200 or less, you too will get an $100 back in your taxes.
3) Head of the Household–If you are making $9,100 or less, you will get back at least $150 when filing.
4) Married, but filing jointly and those who are widows—If you are a qualifying widow and you make $12,400 or less, you will get back at least $200. Same thing will happen for those who are married and file jointly.

1) No Children
– The earnings have to be less then $14,900 a year. If you are married and filing jointly, your earnings need to be less then $21,000.
2) One child–Earnings must be $39,000 for singles and $44,000 for married and filing jointly.
3) Two children- Earnings must be $44,000 for singles or less and $50,000 or less for those who are married.
4) Three or more kids–Earnings must be less then $47,00o for singles and less then $53,000 for married couples.

What will you get back under these new amendments?
1) No children–$496
2) One child–$3305
3) Two kids–$5460
4) Three or more kids–$6143

Tags: long term capital gains tax 2015 (13) / monthly tax table (1) /