Begin With the End in Mind-Tax Planning 2021 and Beyond

The Tax E Man Blog, along with our website http://www.PatTax.net, are designed to be year-round resources for tax consultation, preparation and representation services provided by Baldwin NY Tax Preparation service Pat Tax Inc. and Enrolled Agent Patrick White. Please feel free to contact us with any questions or concerns.

“Begin with the End in Mind means to begin each day, task, or project with a clear vision of your desired direction and destination, and then continue by flexing your proactive muscles to make things happen.”

Steven Covey, Habit 2: The 7 Habits of Highly Effective People

In educator and successful businessman Dr. Steven Covey’s seminal work on self-empowerment, “The Seven Habits of Highly Effective People”, He points out in Habit 2 the importance of creating your Personal Mission Statement. The Mission Statement focuses on what you want to be and do. It is your plan for success. It puts your goals in focus and moves your ideas into the real world.

The mission of tax planning should serve a similar purpose. Tax planning with your tax professional should reflect short- and long-term goals of you, your family and/or business. It should serve as a roadmap on reaching your goals based on a firm educational foundation and tools to monitor plan progress. Tools to avoid pitfalls and minimize surprises.

It was with this in mind that this communication was created, and the Pat Tax Planning Blog was updated. Tools and topics include

  1. Your Rights as a Taxpayer-The Taxpayer Bill of Rights
  2. Recordkeeping for Tax Purposes
  3. 2021 Tax Highlights
  4. Financial Planning Guide
  5. Saving for College
  6. College Financial Aid Planning
  7. Moving Out Worksheet
  8. Newly Wed Tax Tips
  9. Early Retirement Distributions
  10. Saving for Retirement
  11. Pension Income Planning
  12. Social Security and Medicare
  13. Estate Planning, Wills, Probate, and Transfer of Assets

Read Your Rights as a taxpayer-The Taxpayer Bill of Rights Here

Read Recordkeeping for Tax Purposes Here

Read 2021 Tax Highlights Here

Pat Tax Inc. and Enrolled Agent Patrick White are available to answer questions or concerns and to help in customizing your Tax Plan. Also visit us at the Pat Tax Planning Blog.

Any accounting, business or tax advice contained in the Tax E man Blog or http://www.PatTax.net, including attachments, links and enclosures, are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

2021 Tax Highlights

The 2021 Tax Highlights are presented on the Tax E Man Blog. Tax E Man, along with the website http://www.PatTax.net, are designed to be year-round resources for your tax consultation, preparation and representation needs. The resources are provided by Baldwin, NY tax preparation and representation firm Pat Tax, Inc and its president Enrolled Agent Patrick White.

2021 Tax Highlights

The year 2021 continued to bring many challenges and tax changes. In late 2020, an emergency COVID-19 law passed which included additional economic impact payments, an extension of federal pandemic unemployment compensation, and an extension of pandemic related payroll tax credits.

In March 2021, the American Rescue Plan (ARP) was passed which addressed the continued impact of COVID-19 on the economy, public health, individuals, and businesses. This letter provides an update on some changes that might affect you and other things to be aware of.

If you have questions or want to know how any of this impacts you, please do not hesitate to contact me.

Stimulus payments. The laws provided for two additional direct payments (economic impact payments) based on your filing status and AGI (Adjusted Gross Income). The second payment was made late December 2020 or early January 2021amd provided up to $600 per eligible family member. This advance payment was reconciled on your 2020 income tax return.

The payment of the third economic impact payment began in March 2021 and continues through December 31, 2021. Payments are $1,400 for individuals, $2,800 for married couples, and $1,400 for each dependent. The economic impact payment is considered an advanced credit.

The third payment will be reconciled on your 2021 tax return. The payment will not reduce your refund or increase any amount owed on your 2021 return. You will receive an additional credit on your return if your filing status and income level in 2021 qualifies you for a larger payment.

Unemployment Compensation. ARP excluded the first $10,200 of unemployment compensation from income for 2020 only. For 2021, unemployment is fully taxable.

Read Entire 2021 Tax Highlights Newsletter Here

Child Tax Credit. For 2021 only, ARP increased the Child Tax Credit to $3,000 per qualifying child, increased the credit to $3,600 for children under the age of 6, increased the qualifying age from 16 to 17, and made the credit fully refundable for most taxpayers.

The law also directed the IRS to make advance payments of the Child Tax Credit. Payments were made monthly beginning July 15, 2021. The advance payments will be reconciled and reduce the amount of Child Tax Credit you will receive on your 2021 tax return.

In January 2022, the IRS will send you Letter 6419 to provide the total amount of the advance Child Tax Credit payments that were sent to you during 2021. We will need this letter when preparing your return.

Child and Dependent Care Expense Credit. Also, effective to 2021 only, ARP significantly increased the Child and Dependent Care Expense Credit and made the credit fully refundable.

Charitable contributions. The charitable contribution deduction for individuals who do not itemize deductions was extended to 2021. The deduction is $600 on a married filing jointly return or $300 for all other returns. The deduction is limited to cash contributions.

Read Entire 2021 Tax Highlights Newsletter Here

Things to do in 2022 that can affect 2021 taxes. There is very little that you can do to impact your 2021 taxes after December 31, 2021. However, two things that can be done, if you qualify, is making a contribution to your traditional IRA and/or your health savings account (HSA).

IRA deduction. For 2021, you may be able to contribute up to $6,000 ($7,000 if you are at least 50 years old) to an IRA. Contributions for 2021 can be made up until April 18, 2022. If the contribution is made to a traditional IRA, you may qualify for a deduction on your 2021 return. There is no age limit on making a contribution to a traditional IRA. In addition, contributions to any type of IRA (traditional or Roth), might qualify you for the Retirement Savings Contribution Credit.

HSA deduction. Similar to the IRA, you can make 2021 contributions to your HSA up until April 18, 2022. The total amount that can be contributed by you and your employer ranges from $3,000 to $9,200 based on whether you have self-only or family HSA qualifying coverage and your age.

IRS hot items. There always seems to be a number of items that the IRS is focusing on. Some of the current topics the IRS is focused on are foreign assets, cryptocurrency transactions, and unreported income.

Read Entire 2021 Tax Highlights Newsletter Here

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

if desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

2021 Advanced Child Tax Credit

The 2021 Advanced Child Tax Credit is presented on the Tax E Man Blog. Tax E Man, along with the website http://www.PatTax.net, are designed to be year-round resources for your tax consultation, preparation and representation needs. The resources are provided by Baldwin, NY tax preparation and representation firm Pat Tax, Inc and its president Enrolled Agent Patrick White.

We stand ready to help resolve your specific consultation, preparation and representation concerns.

Advanced Child Tax Credit Payments

Important changes to the Child Tax Credit will help many families get advance payments of the credit starting this summer. The IRS will pay half the total credit amount in advance monthly payments beginning July 15. You will claim the other half when you file your 2021 income tax return. These changes apply to tax year 2021 only.

To qualify for advance Child Tax Credit payments, you and your spouse, if you filed a joint return, must have:

  • Filed a 2019 or 2020 tax return and claimed the Child Tax Credit on the return, or
  • Given the IRS your information in 2020 to receive the economic impact payment using the Non-Filers: Enter Payment Info Here tool, and
  • A main home in the United States for more than half the year (the 50 states and the District of Columbia) or file a joint return with a spouse who has a main home in the United States for more than half the year, and
  • A qualifying child who is under age 18 at the end of 2021 and who has a valid Social Security number, and
  • Made less than certain income limits.

The IRS will use information you provided to determine if you qualify and automatically enroll you for advance payments. You do not need to take any additional action to get advance payments.

Caution. The total amount of the advance Child Tax Credit payments that you receive during 2021 is based on the IRS’s estimate of your 2021Child Tax Credit, If the total advance payment is greater than the Child Tax Credit amount you are allowed to claim on your 2021 tax return, you may have to repay the excess amount on your 2021 tax return. You may have received an excess credit due to changes in your income, marital status, or number of qualifying children.

Repayment protection safe harbor. You may not have to repay some or all of any excess advance Child Tax Credit amount if the excess payment is caused by a change in the number of qualifying children and your income is below a specified amount for your filing status.

The maximum amount of repayment protection is $2,000 for each qualifying child that the IRS took into account when estimating your advance Child Tax Credit. You qualify for the maximum amount if your modified adjusted gross income (AGI) is at or below the following amounts based on the filing status for your 2021 income tax return.

  • $60,000 if you are married and filing a joint return or filing as a qualifying widow(er).
  • $50,000 if you are filing as head of household.
  • $40,000 if you are a single filer or married and filing a separate return.

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

Tax News and Industry Updates-First Quarter 2020

2019 Tax Update

The Tax News and Industry Updates-First Quarter 2020 is presented on the Tax E Man Blog. Tax E Man, along with the website http://www.PatTax.net, are designed to be year-round resources for your tax consultation, preparation and representation needs. The resources are provided by Baldwin, NY tax preparation and representation firm Pat Tax, Inc and its president Enrolled Agent Patrick White.

Highlights in this issue include:

  • Further Consolidated Appropriations Act of 2020 which included extensions of expiring provisions
  • SECURE Act, included in the Further Consolidated Act, makes major changes to retirement plan rules.
  • Expansion of 529 Plans
  • Kiddie Tax
  • Disaster Tax Relief

Read Tax News and Industry Updates First Quarter 2020 Here

Taxpayers who may find the law changes of greatest benefit are

  • Taxpayers age 70 ½ or older
  • Taxpayers with retirement plans
  • Volunteer firefighters and emergency medical responders
  • Taxpayers with children who have unearned income
  • Taxpayers who have a casualty loss

Read Tax News and Industry Updates First Quarter 2020 Here

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties. If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

 

Newlyweds Tax Tips

The Tax E Man Blog, along with the website www.PatTax.net are designed to be year-round resources for your tax consultation, preparation and representation needs. The resources are provided by the Baldwin, NY tax preparation and representation firm Pat Tax, Inc and its president Enrolled Agent Patrick White.

We stand ready to help resolve your specific consultation, preparation and representation concerns.

 

Tips for Newlyweds

Updating your status from single to married may bring about some unanticipated changes, including changes relating to your taxes. While wedding planners don’t typically use an IRS checklist, here are a few things to keep in mind when filing your first tax return as a married couple.

As with any tax issue, contact your tax professional to help you navigate your own unique situation.

Read the entire article here 2019 Newlyweds Tax Tips

Notify the Social Security Administration (SSA)

If one of you has taken on a new name, report the change to the SSA. File Form SS-5, Application for a Social Security Card.

It is important that your name and Social Security Number match on your tax return. The IRS will match your information with records provided by the SSA and, if the records don’t match, any electronically filed return will be rejected and any paper filed return will be delayed until the error is corrected.

Avoid making a name change too close to tax season. While the SSA can process a name change in about two weeks, the delay in data-sharing between the SSA and the IRS can make any change near the end of the year problematic. In such situations, it may be advisable to file the tax return using your maiden name and change your name with the SSA after the return has been filed.

Form SS-5 is available on the SSAs website at http://www.ssa. gov, by calling 800-772-1213, or by visiting a local SSA office. A copy of your marriage certificate and driver’s license or passport will be required.

 Notify the IRS If You Move

The IRS will automatically update your new address upon filing your next tax return, but any notices the IRS sends in the meantime may not get to you. The U.S. Postal Service does not forward certain types of federal and certified IRS mail. IRS Form 8822, Change of Address, is the official way to update the IRS of your address change. Download Form 8822 from http://www.irs.gov or order it by calling 800-TAX-FORM (800-829-3676).


Notify the U.S. Postal Service

To ensure your mail, including mail from the IRS, is forwarded to your new address, you’ll need to notify the U.S. Postal Service. Submit a forwarding request online at http://www.usps.com or visit your local post office. Most post offices will not forward refund checks so be sure the IRS has your correct address. Using electronic direct deposit for refunds can prevent them from being delayed due to address mix-ups.

Read the entire article here 2019 Newlyweds Tax Tips

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

Tax News and Industry Updates-July 1 2019

2019 Tax Update

Tax News and Industry Updates-July 1, 2019 Newsletter, is presented on the Tax E Man Blog. Tax E Man, along with the website www.PatTax.net are designed to be year-round resources for your tax consultation, preparation and representation needs. The resources are provided by the Baldwin, NY tax preparation and representation firm Pat Tax, Inc and its president Enrolled Agent Patrick White.

We stand ready to help resolve your specific consultation, preparation and representation concerns.

Tax News and Industry Updates Newsletter-July 1, 2019

Inside this issue of Tax News and Industry Updates Newsletter-July 1, 2019

  • HSA Inflation Adjustment Amounts-the IRS announced adjusted amounts for health savings amounts (HSAs) for 2020. These amounts are reflected in the chart linked here 2019 Tax News and Industry Updates.
  • Use 2018 Tax Return to get 2019 Withholding Correct-millions of taxpayers filed a 2018 tax return in the last few months, making now a prime time for everyone to consider whether their tax situation came out as they expected. If it didn’t, they can use their recently finished 2018 return and the IRS Withholding Calculator to do a Paycheck Checkup and adjust their withholding. Read 2019 Tax News and Industry Updates  here.
  • Draft Version of Form W-4 for 2020-the IRS has issued a draft version of the 2020 Form W-4, Employee’s Withholding Allowance Certificate, to be used to determine withholding for employees. A PDF of the draft can be downloaded by using the Draft Version of W-4 here. Read 2019 Tax News and Industry Updates here.
  • Taxation of State Income Tax Refunds-if a taxpayer receives a federal tax benefit from deducting state and local taxes, and in the following year the taxpayer receives a refund of all or a portion of those state taxes, a portion of the refund may be subject to federal income tax in the year the refund is received. Read 2019 Tax News and Industry Updates here.
  •  Strict Substantiation Requirements for Charitable Contributions. Read 2019 Tax News and Industry Updates here.

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

 

Retirement and Other Savings Accounts-Tax Cuts and Jobs Act

Tax And Jobs Act Image

 

Retirement and Other Savings Accounts-Tax Cuts and Jobs Act , is presented on the Tax E Man Blog. Tax E Man, along with the website www.PatTax.com are designed to be year-round resources for your tax consultation, preparation and representation concerns. The resources are provided by the Baldwin, NY tax preparation and representation firm Pat Tax Inc and its President Enrolled Agent Patrick White.

Retirement and Other Savings Account-Tax Cuts and Jobs Act

 

The Tax Cuts and Jobs Act (TCJA) is the biggest tax law change in over 30 years and will have significant effects on tax planning and filing for individuals, families and businesses.

Among the changes made were those affecting certain retirement and savings accounts, such as Able and 529 accounts. Except where noted, the changes are efective for tax years 2018-2025.

The 2018 Tax Cuts and Jobs Act Retirement and Other Savings Accounts blog will focus on the following TCJA changes

  • IRA-Reconversion rules cannot be used to unwind a Roth conversion
  • Rollover Period of Plan Loan Offsets
  • Section 529 Qualified Tuition Plan (QTP)-expansion of distributions for public, private  or religious elementary or secondary school tuition expenses
  • Achieving a Better Life Experience (ABLE) Account-Ability to make tax-free roll over from 529 to ABLE

The link here 2018 Tax Cuts and Jobs Act Retirement and Other Savings Accounts will provide explanation and examples of the old law and the new law.
The goal of the Tax E Man Blog is to help you understand, take action-if necessary-and comply with your federal tax return requirements.
The information is not intended to replace or supersede IRS tax forms, instructions or other official guidance. The official IRS.gov website includes a Tax Reform page that highlights what you need to know about the tax law changes.

2018 Tax Cuts and Jobs Act Retirement and Other Savings Accounts

The first 2 Blogs in the series, 2018 New Tax Law and Tax Cuts and Jobs Act-Individuals can be accessed by clicking the links below. A link for IRS Publication 5307, Tax Reform Basics for Individuals and Families is also available.

2018 New Tax Law
Tax Cuts and Jobs Act-Individuals
IRS Publication 5307-Tax Reform Basics for Individuals and Families

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

 

Getting Ready For Federal Tax Filing-The Tax Cuts and Jobs Act (TCJA)

Tax And Jobs Act Image

The Tax E Man Blog, along with our website http://www.PatTax.net, are designed to be year-round resources for your tax consultation, preparation and representation concerns. The resources are provided by the Baldwin, NY tax preparation and representation firm Pat Tax Inc and its President Enrolled Agent Patrick White.

Pat can be contacted at (347) 949-TAXE(8293) or email: PatTaxHelp@gmail.com with any questions or concerns.

Getting Ready For Federal Tax Filing-The Tax Cuts and Jobs Act (TCJA)

 

The Tax Cuts and Jobs Act (TCJA) is the biggest federal tax law change in over 30 years and will have signicant effects on tax planning and filing for individuals, families and businesses.

The Tax E Man Blog will cover some of the provisions of the TCJA, It will provide information for you, your family and your business to help you understand , take action-if necessary- and comply with your federal tax return requirements.

The Tax E Man Tax Cuts and Jobs Act Blog Series will include

The New Tax Law- An Overview
Tax Cuts and Jobs Act-Individuals
Tax Cuts and Jobs Act-Retirement and Other Savings Accounts
Tax Cuts and Jobs Act-New Business Income Deduction
Tax Cuts and Jobs Act Depreciation
Tax Cuts and Jobs Act-Excess Business Loss and Net Operating Loss (NOL)
Tax Cuts and Jobs Act-Employers
Tax Cuts and Jobs Act-Corporations

The information is not intended to replace or supersede IRS tax forms, instructions or other official guidance. The official IRS.gov website includes a Tax Reform page that highlights what you need to know about the tax law changes.

The first 2 Blogs in the series, The New Tax Law-An Overview and Tax Cuts and Jobs Act-Individuals can be accessed by clicking the links below. A link for IRS Publication 5307, Tax Reform Basics for Individuals and Families is also available.

 

2018 New Tax Law-An Overview

Tax Cuts and Jobs Act-Individuals

IRS Publication 5307-Tax Reform Basics for Individuals and Families

 

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

 

Your Rights as a Taxpayer

The Tax E Man Blog, along with our website http://www.PatTax.net, are designed to be year-round resources for your tax consultation, preparation and representation concerns. The resources are provided by Pat Tax Inc and its President Enrolled Agent Patrick White.

Pat can be contacted at (347) 949-TAXE(8293) or email: PatTaxHelp@gmail.com with any questions or concerns.

 

Your Rights as a Taxpayer

 

As stated by the Internal Revenue Service, their mission is to

Provide America’s taxpayers top-quality service by helping them understand and meet their tax responsibilities and enforce the law with integrity and fairness to all.

It was toward this end that the Taxpayer Bill of Rights were created by the IRS and incorporated into Publication 1. The Taxpayer Bill of Rights contain 10 provisions compiled by the Internal Revenue Service that “Take the multiple existing rights embedded in the tax code and groups them into 10 broad categories making them more visible and easier for taxpayers to find.”

 

Read Taxpayer Bill of Rights Here

 

The 10 Taxpayer Rights are

  1. The Right to Be Informed
  2. The Right to Quality Service
  3. The Right to Pay No More than the Correct Amount of Tax
  4. The Right to Challenge the IRS’s Position and be Heard
  5. The Right to Appeal an IRS Decision in an Independent Forum
  6. The Right to Finality
  7. The Right to Privacy
  8. The Right to Confidentiality
  9. The Right to Retain Representation
  10. The Right to a fair and Just Tax System

 

Read Taxpayer Bill of Rights Here

 

As stated in Right 9, taxpayers have “The Right to Retain Representation.” Enrolled Agent Patrick White, President of Pat Tax Inc, is empowered by the United States Department of the Treasury to represent taxpayers before the Internal Revenue Service in regard to tax matters. Pat can be contacted at (347) 949-TAXE(8293) or email: Pattaxhelp@gmail.com.

Any accounting, business or tax advice contained in the Tax E Man Blog or PatTax.net, including attachments, links and enclosures are not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

 

 

High-Income Taxpayers

High Income Tax Payers

The Tax E Man Blog is a publication of Baldwin NY Tax Preparation and Representation firm Pat Tax Inc. Pat Tax and Enrolled Agent Patrick White provide tax consultation, preparation, and representation services to the Long Island communities of Baldwin NY, Freeport NY, Roosevelt NY, Uniondale NY and Hempstead NY and the Queens communities of Saint Albans NY, Cambria Heights NY, Laurelton NY, and Springfield Gardens NY.

Visit us at http://www.PatTax.net for the latest tax preparation tools and information. We can be contacted at PatTaxHelp@gmail.com or mobile: 917 533-8475.

 

High-Income Taxpayers

In addition to being subject to higher federal tax rates, taxpayers whose income exceeds certain levels have tax deductions and credits that are reduced or eliminated. The provisions listed may have additional qualifications and restrictions. Other provisions of the tax code, such as fringe benefit limitations and taxation on the sale of a principal residence, may further restrict a taxpayer’s ability to take deductions or cause the taxpayer to pay additional tax. Ask your tax professional for more details.

Capital Gains Tax Rates

 Long-Term Capital Gain Maximum Tax Rates

 For taxpayers with ordinary tax rate of

 2013 and After

 Top rate

 20%

 25% to rate below top rate

 15%

 10% or 15%

 0%

   

 Qualified Dividend Income Tax Rates

 For Taxpayers with ordinary tax rate of

 2013 and After

 Top rate

 20%

 25% to rate below top rate

 15%

 10% or 15%

 0%

   

 

Read High Income Taxpayers 2017 Here

 

 

2017 Itemized Deduction Phase-out

 Itemized deductions begin to phase out when
 Filing Status  Modified Adjusted  Gross Income
 Married Filing Jointly, Qualifying Widow

 $313, 800

 Head of Household

 $287, 650

 Single

 $261, 500

 MFS

 $156, 900

2017  Personal Exemptions

The personal exemption per is -$4,050

 Personal exemption’s  phase-out with the following AGI amounts.

 Filing Status

 AGI Beginning of Phase-out-AGI Completed Phase-out
 Married Filing Jointly, Qualifying Widow  $313,800-$436,300
 Head of Household  $287,650-$410,150
 Single  $261,500-$384,000
 Married Filing Separately  $156,900-$218,150

 

Read High Income Taxpayers 2017 Here

 

Any accounting, business, or tax advice contained in the Tax E Man Blog or http://www.PatTax.net, including attachments, links, and enclosures, are not intended as a thorough in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax related penalties.

If desired, Pat Tax Inc. would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired.

The Tax E Man Blog, along with our website http://www.PatTax.net, are designed to be year round resources for tax consultation, preparation and representation services provided by Pat Tax Inc. . Please feel free to contact us with any questions or concerns.

Pat can be contacted at 347 949-8293 or email: PatTaxHelp@gmail.com.