2015 Tax Season is Coming

Tax Tips 2015 Tax Season is coming. New rates for 2015 Single Taxable Income $ 0 to 9,225 × 10.0% minus $ 0.00 = Tax 9,226 to 37,450 × 15.0% minus 461.25 = Tax 37,451 to 90,750 × 25.0% minus 4,206.25 = Tax 90,751 to 189,300 × 28.0% minus 6,928.75 = Tax 189,301 to 411,500 × 33.0% minus 16,393.75 = Tax 411,501 to 413,200 × 35.0% minus 24,623.75 = Tax 413,201 and over × 39.6% minus 43,630.95 = Tax MFJ or QW Taxable Income The personal exemption per person is ............................... $ 4,000 Personal exemptions phaseout with the following AGI amounts: AGI Beginning AGI Completed of Phaseout Phaseout MFJ and QW...................... $ 309,900 .................................. $ 432,400 HOH ................................... $ 284,050 .................................. $ 406,550 Single................................. $ 258,250 .................................. $ 380,750 MFS ................................... $ 154,950 .................................. $ 216,200 The basic standard deduction for 2015 is: Single or MFS ............................................................................ $ 6,300 MFJ or QW................................................................................ $ 12,600 HOH............................................................................................ $ 9,250 Age 65 and/or blind. The additional amounts for age 65 or older and/or blind, per person, per event in 2015 are: MFJ, QW, or MFS ....................................................................... $ 1,250 Single or HOH ............................................................................ $ 1,550 Dependent. The standard deduction in 2015 for an individual who may be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050, or earned income plus $350. Itemized deductions begin to phase out when modified AGI reaches: MFJ, QW ................................................................ $ 309,900 HOH........................................................................ $ 284,050 Single ..................................................................... $ 258,250 MFS........................................................................ $ 154,950 Tax Facts and Figures * May be increased by extender legislation. * Plus 0.9% on wages above threshold amount, plus 3.8% on unearned income above threshold amount. 2015 Tax Rates: Capital Gain and Dividend Income If income is… Maximum % If asset is held… Gain from the sale of collectibles 28% More than 1 year Taxable portion of gain on qualified small business stock (section 1202 exclusion) 28% More than 5 years Unrecaptured section 1250 gain 25% More than 1 year Long-term capital gain for taxpayers subject to the top tax rate of 39.6% 20% More than 1 year Long-term capital gain for taxpayers subject to a regular tax rate of 25% or higher, up to the rate below the top rate 15% More than 1 year Long-term capital gain for taxpayers subject to a regular tax rate of 10% or 15% 0% More than 1 year Qualified dividend income for taxpayers subject to the top tax rate of 39.6% 20% More than 1 year Qualified dividend income for taxpayers subject to a regular tax rate of 25% or higher, up to the rate below the top rate 15% More than 60 days Qualified dividend income for taxpayers subject to a regular tax rate of 10% or 15% 0% More than 60 days Ordinary dividend income 39.6% 60 days or less Short-term capital gain 39.6% 1 year or less Note: Add 3.8% to the above rates for the net investment income tax for income above $250,000 MFJ, $125,000 MFS, and $200,000 all other filing statuses. 0.9% Additional Medicare Tax on Wages Income Threshold Amounts Filing Status ................... S, HOH, QW ............... MFJ.................... MFS Threshold Amount ............ $ 200,000............... $ 250,000 ............. $ 125,000 3.8% Net Investment Income Tax Threshold Amounts (NIIT) Filing Status ....................... S, HOH................ MFJ, QW................ MFS Threshold Amount ............ $ 200,000............... $ 250,000 ............. $ 125,000 If you have any questions for the 2015 upcoming tax season, please don’t hesitate to call. Joseph C Becker Ten Forty plus Quality Tax Preparation & Financial Services www.tenfortyplus.com 281-397-7777, Fax 281-397-7443 joeb@tenfortyplus.com