Have You Heard About These New Income Tax Changes?

Tax,Changes,Reform,Impact,On,Your,Return,Amount,Due,Irs

February is almost over. Can you believe it? That means the annual income tax return deadline is fast approaching.  If you still haven’t done your taxes then there are some important changes you should know about. Hopefully, if you’ve already filed, then you were aware of these changes beforehand. If not, and you think they could impact your return then you could always file an amended return.

In any case, here are some key changes to be aware of. The due date for taxes this year is actually Monday, April 18 in most states, however, for those taxpayers that live in states that celebrate Patriot’s Day the due date falls on Tuesday, April 19. First, for those claiming certain credits, like the child tax credit and the American Opportunity Credit, the IRS now requires a Social Security or tax ID number.

You’ve heard of an IRA, now the U.S. Treasury Department is offering myRA, a free retirement account that allows eligible taxpayers to fund it either through their personal accounts or via payroll deductions. Elsewhere, the Personal Exemption rate has increased to $4,000 for the majority of taxpayers. For those that make more than $258,250 the exemption is not as much.

Another deduction that has gone up from last year is the standard deduction. It has increased $100 for individuals and $200 for married couples filing jointly from 2014, to $6,300 and $12,600 respectively. Meantime, if you use a vehicle for business you can use the mileage used for that business as a deduction. While that is not new, the rate per mile for 2015 was 57.5 cents, up from 56 cents in 2014.

Of course, if you still need help with your tax returns you can contact us at 1-877-CPA-2006 or by clicking here.

Posted in

Crazy Tax Deductions

Crazy Tax Deductions Every year at tax time, people try to come up with items to deduct or write off on their tax return. Sometimes the IRS allows them, and sometimes they don’t. We’ve compiled a list of our favorite crazy tax deductions, some were successful and others were not. Crazy Tax Deductions that the…

Renting Your Vacation Home

Renting Your Vacation Home Source: IRS.gov Income that you receive for the rental of your vacation home must generally be reported on your federal income tax return. However, if you rent the property for only a short time each year, you may not be required to report the rental income. The IRS offers these tips…

Summer Job Tax Information for Students

Summer Job Tax Information for Students Source: IRS.gov When summer vacation begins, classroom learning ends for most students. Even so, summer doesn’t have to mean a complete break from learning. Students starting summer jobs have the opportunity to learn some important life lessons. Summer jobs offer students the opportunity to learn about the working world…

Small-business Owners Struggle With ‘Work-Life Balance’

Small-business Owners Struggle With ‘Work-Life Balance’ January 9, 2006 Small-business owners daily walk a fine line dividing their time between the demands of work and personal life. Often times, work wins out. From paying the bills to managing employees, the daily operations of running a business can be overwhelming. “So many small-business owners get caught…