2016 NEW TAX LAW
 

Foreign earned income exclusion. The maximum exclusion has increased to $101,300.
 
Standard mileage rates. The rate for business use of your vehicle is 54 cents per mile. The rate for use of your vehicle to get medical care or move is 19 cents per mile. The charitable mile rate is 14 cents per mile.
 
Limitation on itemized deductions. Itemized deductions for taxpayers with adjusted gross income above $311,300 if married filing jointly or qualifying widow(er), $285,250 if head of household, $259,400 if single, and $155,650 if married filing separately may be reduced.
 
Alternative minimum tax (AMT) exemption amount increased. The AMT exemption amount is increased to $53,900 ($83,800 if married filing jointly or qualifying widow(er); $41,900 if married filing separately).
 
Annual gift exclusion amount-$14,000.00.

The elective deferral (contribution) limit for employees who participate in 401k, 403(b), most 457 plans - $18,000.
 
The catch-up contribution limit for employees aged 50 and over who participate in 401k, 403(b), most 457 plans - $6,000.

Individual Retirement Arrangement (IRA) -  $5,500. The additional catch-up contribution limit for individuals aged 50 - $1,000.

SEP IRA and Individual 401(k) - $59,000.

Estate exclusion amount - $5,450,000.


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