What Tax Changes Can You Expect Next Year?
With the New Year almost here that means several new tax changes are on the horizon. These changes are for 2016 and do not apply to the taxes you will be working on in the next few months before April’s deadline. However, it’s a good idea to know what to expect as the new tax year kicks off, because tax-preparation is really a year-round endeavor.
So let’s look at some of the most important tax changes for the coming year. First off, the deadline will be April 18 this year because April 15 falls on a federal holiday, Emancipation Day. So Monday April 18 is the day for most taxpayers, while for people in those states that celebrate Patriot Day the tax deadline will be April 19.
Another change to be aware of is that the tax penalties for not having health insurance, under the Affordable Car Act, will be increasing again. An adult will pay a $695 penalty for not having insurance or 2.5 percent of his or her income. There were will be a maximum amount a family has to pay but that amount will go up from $975 to $2,085 next year.
Tax brackets will be going up slightly in 2016. You can click here to see those brackets. If you file as head of household then your standard deductions are rising by $50. Likewise, personal exemptions are also increasing by $50 in 2016. Other changes include increased limits on health savings accounts, a slight increase in the earned income credit, and a $300 increase in the exemption from the Alternative Minimum Tax. Lastly, the estate tax exemption is also increasing, by $20,000.
As always GROCO will be there to help you make sense of all the tax changes this year and to make sure you understand how they will affect you. Just contact us for assistance at 1-877-CPA-2006 or click here.
Gemlust | Rénee Kubryk
About Rénee Kubryk Rénee Kubryk has always had a passion for Gems. At a young age Rénee found herself working at a jewelry store owned by her parents. She received her degree in nursing from City University of New York City College and later a Master’s in Human Resources & Organizational Development from the…
Academic Deep Learning | Dr. Karen Walker
Transcript, Academic Deep Learning | Dr. Karen Walker Alan Welcome back. I’m here today with Dr. Karen Murray Walker. She’s the author of the book, The Deep Learning academic success planner. And we’re on the campus of Southern Virginia University. Dr. Walker, welcome to the show. Thank you. So I’d like your background, you know…
Jenny Oaks Baker- Developing Talents
About Jenny Oaks Baker America’s Violinist, Jenny Oaks Baker is a Grammy Nominated, Billboard No. 1 performer and recording artist. She received her Master of Music degree from the renowned Juilliard School in New York City and her Bachelor’s Degree in violin performance from the Curtis Institute of Music in Philadelphia. She has performed as…
How the Internet Became Commercial: Patterns in the Deployment of Technology | Shane Greenstein
About Shane Greenstein Shane Greenstein is a Professor of Business Administration at the Harvard School of Business and is the MBA Class of 1957 Professor of Business Administration. Professor Greenstein is also co-director of the program on the economics of digitization at The National Bureau of Economic Research. Professor Greenstein is the author of…