Due to inflation adjustments
- $100 increase to each personal and dependent exemption to $3800
- $300 increase to $11,900 for standard deduction for married couples filing a joint return. $150 increase to $5,950 for singles and married individuals filing separately. $200 increase to $8,700 for heads of household.
- Tax bracket threshold increases. For example if married and filing jointly the "line in the sand" from the 15-percent bracket to the 25-percent bracket is $70,700, increased from $69,000 last year.
- Estate tax exemption increase of $120,000 to $5,120,000.
One item that is changing:
- Annual gift exclusion remains at $13,000.
Ok, that's about all the tax details I can muster. There's better ways to welcome the New Year than dig up tax details..
Are you planning on any tax-related changes this year? Any expected life changes to consider?