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Taxes and Your Social Security
If you thought Uncle Sam would forget about taxes on your Social Security retirement benefits, think again. When you have other income, up to 85% of your benefit could be taxable. Your “combined income” determines whether — and how much of — your benefits will be subject to federal income tax.
What’s Combined Income?
Your combined income comprises all the income you receive from any source, with only a few exceptions. Combined income includes wages and self-employment income; rental income; investment income, such as interest, dividends, and capital gains; income from pensions and retirement accounts (but not tax-free Roth distributions); and — here’s the kicker — even tax-exempt interest from municipal bonds. In addition, you have to add in half your Social Security benefits when you are figuring your combined income.*
The Thresholds
You won’t pay taxes on your Social Security if:
- Your combined income is not more than $25,000 and your filing status is single or head of household
- Your and your spouse’s combined income is not more than $32,000 and you file a joint return
Up to 50% of benefits are taxable if you have combined income between:
- $25,000 and $34,000 (single/head of household)
- $32,000 and $44,000 (married joint)
Up to 85% of benefits are taxable if you have combined income of more than:
- $34,000 (single/head of household)
- $44,000 (married joint)
And if you’re a married taxpayer filing a separate return, you’ll probably have to pay taxes on your benefits. Connect with us today for all the latest and most current tax rules and regulations.
* You have to take certain adjustments into account in the combined income calculation.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
How to Improve Your Cash Flow
Slow paying customers, seasonal revenue variations, an unexpected downturn in sales, higher expenses — any number of business conditions can contribute to a cash flow crunch. If you own a small business, you may find the suggestions that follow helpful in minimizing cash flow problems.
Billing and collections. Your employees need to work with clear guidelines. If you don’t have a standardized process for billing and collections, make it a priority to develop one. Consider sending invoices electronically instead of by mail. And encourage customers to pay via electronic funds transfer rather than by check. If you don’t offer a discount for timely payment, consider adding one to your payment terms.
Expense management. Know when bills are due. As often as possible, pay suppliers within the period that allows you to take advantage of any prompt-payment incentives. Remember that foregoing a discount in order to pay later is essentially financing your purchase.
Take another look at your costs for ongoing goods and services, including telecommunications, shipping and delivery, utilities, etc. If you or your employees travel frequently for in-person meetings, consider holding more web conferences to reduce costs.
Inventory. Focus on inventory management, if applicable, to avoid tying up cash unnecessarily. Determine the minimum quantities you need to keep on hand to promptly serve customers. Systematically track inventory levels to avoid overbuying.
Debt management. Consider how you use credit. Before you commit to financing, compare terms from more than one lender and keep the amount to a manageable level. For flexibility, consider establishing a line of credit if you do not already have one. You will be charged interest only on the amount drawn from the credit line.
Control taxes. Make sure you are taking advantage of available tax breaks, such as the Section 179 deduction for equipment purchases, to limit taxes.
Develop a cash flow budget. Projecting monthly or weekly cash inflows and outflows gives you a critical snapshot of your business’s cash position and shows whether you’ll have enough cash on hand to meet your company’s needs.
Don’t get left behind. Contact us today to discover how we can help you keep your business on the right track. Don’t wait, give us a call today.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
IRS Issues Reminder of What Is Needed to Prove Charitable Deductions
As people are getting their last minute tax deductions in before the end of the year, the IRS published reminders to taxpayers of what documentation is needed to claim charitable donations.
The documentation requirements are strict and if there is any deficiency in proof, the IRS can disallow the deduction even if you can prove payment with a canceled check or receipt.
So, here are the requirements:
Rules for Clothing & Household Items
To be deductible, clothing and household items must be in good condition or better. A clothing or household item (e.g., furniture, furnishings, electronics, etc.) for which a taxpayer claims a deduction of over $500 does not have to be in good condition if the taxpayer includes a qualified appraisal of the item with the return.
Donors must get a written acknowledgment from the charity for all gifts worth $250 or more.
Rules for Donating Money
To deduct donations of money, regardless of amount, the taxpayer must have a bank record or a written statement from the charity showing the name of the charity and the date and amount of the contribution.
Bank records include: canceled checks, bank or credit union statements, and credit card statements. The bank record should show the name of the charity, the date of the donation, and the amount paid.
For payroll deductions, the taxpayer should retain a pay stub, a Form W-2 showing donations, or other document furnished by the employer showing the total amount withheld for charity, along with the pledge card showing the name of the charity.
For money donations $250 or more, the taxpayer MUST receive an acknowledgment from the charity BEFORE filing the tax return in order to claim the deduction. If an acknowledgment is not received, the taxpayer cannot claim the deduction even if proof of donation is established by bank record.
Other Reminders
Only donations to qualified organizations are deductible. Donations directly to needy individuals are not deductible. The IRS maintains a database of qualifying organizations at https://apps.irs.gov/app/eos/mainSearch.do;jsessionid=mg3hp1dT8jJZjNPqoF3SdA__?mainSearchChoice=pub78&dispatchMethod=selectSearch
Contributions are deductible in the year made. Thus, donations charged to a credit card before the end of the year count for 2015 even if the credit card bill isn’t paid until the following year. Donations by check are deductible in 2015 if they are mailed out before the end of the year.
For individuals, only taxpayers who itemize their deductions can claim deductions for charitable contributions.
For donations of all property, including clothing and household items, the taxpayer should get from the charity a receipt that includes the name of the charity, the date of the contribution, and a reasonably detailed description of the donated property.
To see how this applies to you, give us a call at 248-538-5331.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
IRS to Its Auditors: Info on IRS.gov Isn’t Reliable
The IRS Small Business/Self-Employed Division recently issued a memo to its Field Examination Area Directors [auditors] stating that frequently asked questions (FAQs) and other items posted on IRS.gov, that have not been published in the Internal Revenue Bulletin, are not legal authority.
The Internal Revenue Bulletin is the authoritative instrument for announcing official rulings and procedures of the IRS and for publishing Treasury Decisions, Executive Orders, Tax Conventions, legislation, court decisions, and other items of general interest.
Background
The IRS makes frequent postings to its website. In many cases, these postings are in the form of FAQs. Often, these items are not reproduced in pronouncements that form part of the Internal Revenue Bulletin.
The memo states that it is the policy of the IRS to publish in the Internal Revenue Bulletin all substantive rulings necessary to promote a uniform application of the tax laws. IRS employees must follow items published in the Internal Revenue Bulletin, and taxpayers may rely on them. FAQs that appear on IRS.gov but that have not been published in the Internal Revenue Bulletin are not legal authority and should not be used to sustain a position unless the items explicitly indicate otherwise or IRS indicates otherwise by press release or by notice or announcement published in the Internal Revenue Bulletin.
So Why Bother Viewing Info on IRS.gov?
While information cannot be cited as support for a tax position, the information on IRS.gov is still useful if you need an overview of a tax topic. The information on IRS.gov also tends to cite sources that can be used as legal authority (such as tax statutes, regulations, etc.). While you can’t cite the information on IRS.gov as legal authority, the site will usually point you to source material that can be used as legal authority. By the way, you probably shouldn’t be doing tax research in the first place—talk to a tax professional if you have a complicated tax issue.
Defer Tax with a Like-Kind Exchange (aka 1031 Exchange)
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People who sell real estate at a gain often want to use the proceeds to purchase additional real estate. However, people have to pay tax on the gain before they can use the proceeds to buy more real estate. Often, they are surprised that they have to pay tax on the gain when they’re rolling the proceeds into more real estate.
Taxpayers in this situation can avoid paying tax immediately on the sale by entering into a like-kind exchange. In a like-kind exchange, taxpayers exchange their property with another taxpayer’s property without cash exchanging hands. If taxpayers can’t find another party to exchange properties with, multi-party exchanges (described in my next blog) can be structured.
Like-kind exchanges can include business for business, business for investment, investment for business, or investment for investment property. Inventory, partnership interests, and stocks and bonds do not qualify for like-kind exchange treatment. The term like-kind refers to the nature and character of the property and not to its grade or quality. Real estate can be exchanged only for other real estate, and personal property can only be exchanged for other personal property.
A major benefit of like-kind exchanges is that the taxpayer can acquire new property on a pre-tax basis.
Example: Suzy has property with a $100,000 cost and a $250,000 market value. If she sells the property she will pay tax of 15% on her $150,000 gain, which amounts to $22,500. After paying tax, Suzy only has $227,500 of the proceeds left to purchase new property. If Suzy can enter into a like-kind exchange, she can defer paying tax and will be able to acquire new property worth the $250,000 value of her old property.
With a like-kind exchange, tax is deferred rather than avoided. When a taxpayer exchanges a property, the original cost of the old property is applied to the new property.
Example: Barney owns Parcel 1 which he bought for $100,000 but is now worth $250,000.. Andy owns Parcel 2, which he bought for $120,000 but is now worth $250,000. They exchange properties. Barney now owns Parcel 2, with a cost of $100,000 and a market value of $250,000. Andy now owns Parcel 1 with a cost of $120,000 and a market value of $250,000. Neither pays tax at the time of the exchange. However, tax is not permanently avoided because Barney will have a taxable gain of $150,000 when he later sells Parcel 2 and Andy will have a taxable gain of $130,000 when he later sells Parcel 1.
To fully defer tax, no cash or assets other than the exchanged properties can change hands. If cash (including relief from debt) changes hands, taxable gain may be recognized to the extent of cash and other assets received. Cash and other assets received in a like-kind exchange are referred to as “boot”.
Example: Barney owns Parcel 1 which he bought for $100,000 but is now worth $250,000. Andy owns Parcel 2, which he bought for $120,000 but is now worth $230,000. They exchange properties and Andy pays Barney $20,000 because his property is worthless than Barney’s. Barney’s economic gain is $150,000, but his taxable gain is limited to the $20,000 cash he received. Andy’s exchange is still completely tax deferred because he received no boot.
Example 2: Barney owns Parcel 1 which he bought for $100,000 but is worth $250,000. Assume Barney has a $20,000 mortgage on Parcel 1. Andy owns Parcel 2, which he bought for $120,000 but is worth $230,000. They exchange properties and Andy assumes Barney’s $20,000 mortgage. Since Barney was relieved of the $20,000 mortgage, he has received boot. Barney’s economic gain is $150,000, but his taxable gain is limited to the $20,000 mortgage relief he received. Andy’s exchange is still completely tax deferred because he received no boot.
The basis of the new property is equal to the basis of the old property:
- Plus boot paid
- Less boot received
- Plus gain recognized
For both of the above 2 examples, Barney’s basis in Parcel 2 is:
Basis of Parcel 1: $100,000
Plus boot paid: $0
Less boot received: ($20,000)
Plus gain recognized: $20,000
Basis of Parcel 2: $100,000
If Barney immediately sells Parcel 2 for $230,000, he will recognize a gain of $130,000 ($230,000 sales price less basis of $100,000). When you add this $130,000 gain on sale to the $20,000 gain Barney recognized when he received the $20,000 boot, you have $150,000 which is the economic gain Barney had in Parcel 1. Notice how the economic gain of $150,000 is taxed as Barney received cash of $20,000 during the like-kind exchange, and $130,000 when he sells Parcel 2 for cash.
For both of the above 2 examples, Andy’s basis in Parcel 1 is:
Basis of Parcel 2: $120,000
Plus boot paid: $20,000
Less boot received: $0
Plus gain recognized: $0
Basis of Parcel 1: $140,000
If Andy immediately sells Parcel 1 for $250,000, he will recognize a gain of $110,000 ($250,000 sales price less basis of $140,000). This is the economic gain he had in Parcel 2.
If you need help with small business taxes,
sign up for a FREE tax consultation.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
You May Not Get Any Amended Form 1099s for Investment Income This Tax Season
One of the more annoying aspects of tax filing has been the amended Form 1099s that people receive from investment brokers late in the filing season that require amended returns. Well, the number of these amended Form 1099s may decline substantially this filing season.
For investment income Form 1099s filed after December 31, 2016 (i.e., for tax years 2016 and later) there is a new safe harbor for de minimis errors on informational returns. If the broker makes an error that differs from the correct amount by no more than $100 or tax withheld differs by no more than $25, the broker is not required to issue a revised Form 1099 unless the payee elects that the safe harbor not apply.
Most of the corrected Form 1099s issued late in the filing season tend to report changes that are fairly small amounts, and they are generally under $100. So this safe harbor should substantially reduce the number of amended tax returns that are required because of corrected investment income Form 1099s.
If you have any questions on how this applies to you, please feel free to give us a call at 248-538-5331.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
Is This the End of the Individual Mandate?
The IRS recently announced that it will not reject 2016 tax returns that are silent on whether the taxpayer has complied with the individual mandate of the Affordable Care Act. These provisions require taxpayers to have qualifying health care coverage, qualify for an exemption, or pay a penalty. The IRS previously stated that such “silent” returns would be rejected; however, the IRS has shifted its policy to comply with a recent Presidential executive order. While the individual mandate is still law, it is possible that the IRS may not enforce the penalty. Caution is advisable. It is still very early in this process and guidance is still vague.
Background on the Individual Mandate
On their tax returns, taxpayers who had qualifying health coverage for every month of 2016 for themselves, their spouses, and dependents had to check the box on line 61 (Health Care: Individual Responsibility). A taxpayer that couldn’t check the box because there were coverage lapses must generally either claim a coverage exemption or pay the penalty for the lapse months.
The Executive Order
President Trump’s first executive order stated his intent to seek prompt repeal of the ACA. The executive orders stated:
To the extent permitted by law, the Secretary of Health and Human Services and the heads of all other executive departments and agencies with authorities and responsibilities under the Act shall exercise all authority and discretion available to them to waive, defer, grant exemptions from, or delay the implementation of any provision or requirement of the Act that would impose a fiscal burden on any State or a cost, fee, tax, penalty, or regulatory burden on individuals, families, healthcare providers, health insurers, patients, recipients of healthcare services, purchasers of health insurance, or makers of medical devices, products, or medications.
While the Trump Administration cannot simply repeal the individual mandate, which is part of a law passed by Congress, they could make the regulatory exemptions from it so broad that the exemptions swallow the rule and the individual mandate is essentially unenforced. Possibly…
One cause for concern is that even though the IRS will now process returns that are silent on compliance with the individual mandate, the IRS says that if it has questions about a tax return, taxpayers may receive follow up questions and correspondence at a future date.
Based on existing law prior to the executive order, the IRS will not issue liens or levies to collect the penalty and they will not initiate audits based on nonpayment of the penalties. The IRS’ only recourse for nonpayment of the penalty is to reduce refunds owed to taxpayers.
If you have any questions on how this applies to you, please feel free to give us a call at 248-538-5331.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
Home Office Deductions
When you qualify to take a home office deduction, the business
portion of the following expenses (which are usually not deductible) become deductible:
- utility costs
- home insurance premiums
- repairs
- the lower of the cost of your home or its fair market value (this is done through depreciation deductions)
A couple of caveats:
- the home office deduction is limited to the income from the business (or job) for which you are using the home office
- home office deductions for employees are only allowed if the employee’s home office is used for the convenience of the employer
- So if your employer provides you with an office at work, but you choose to work at home, you can’t take a home office deduction because you are working at home for your own convenience.
- If your employer does not provide you with an office at work (or the availability of the employer’s office is too restrictive), your home office is more likely to be for the convenience of your employer and be deductible.
Requirements of the Home Office Deduction
A home office must be used REGULARLY and ***EXCLUSIVELY***as:
- your principal place of business
- a place where you meet with customers or clients
- connected with your business if your home office is in a separate structure
If there is any personal use of your home office, it is not being used exclusively for business and the home office deduction is not allowed. There are only two exceptions to the exclusivity rule:
- you are running a daycare out of your home
- the home office is being used to store inventory
If you are running a daycare or using your home office to store inventory, you can take a home office deduction even if the home office is not being used exclusively for business (but the home office deduction is reduced by the percentage that it is being used for personal reasons).
Principal Place of Business Requirement
There are two ways to meet the principal place of business requirement:
- You meet the facts and circumstances test
- the nature of the work performed at each location
- the amount of time you spend at each location is considered.
- You perform managerial or administrative work out of your home office, and you do not perform substantial administrative or managerial work at another fixed location.
Example: Doc is a cardiologist who has a home office where he:
- does billing work
- reads medical journals
- schedules appointments
- does some bookkeeping work for his business
Under the facts and circumstances test, the IRS looks to Doc’s business and the nature of the work he performs at each location. Doc is a cardiologist and performs surgery and consults at hospitals. Since the work of a cardiologist is primarily surgical and consultative, Doc cannot take a home office deduction because his primary work is done at hospitals.
However, Doc can take a home office deduction because he performs managerial and administrative work out of his home office (and doesn’t do such work at other locations).
This fact scenario is based on the Solimon v. Commissioner case. In this case, the Supreme Court agreed with the IRS and disallowed a home office deduction under the facts and circumstances test. Congress responded by changing the law to allow home office deductions for administrative and managerial work done in a home office.
A very important advantage of having your home as your principal place of business is that commuting expenses become deductible. Normally, your commute to your first business stop (and from your last business stop to your home) are nondeductible. When your home is your principal place of business, commuting expenses from your home office to your first business stop (and from your last business stop to your home office) become deductible.
A Place where You Meet with Customers/Clients
You must actually meet with customers/clients at your home (i.e., teleconferencing or videoconferencing does not count). Not much more to say here.
Connected with Your Business if the Home Office is in a Separate Structure
The “connected with” requirement is a much less stringent requirement to meet than the principal place of business requirement. A separate structure can include a detached garage or barn. The reasoning for the less stringent standard is because a separate structure is less likely to be used for personal reasons (e.g., you are more likely to watch TV or have company in your den than you are to watch TV or invite company to your detached garage).
Simplified Home Office Deduction
There is a simplified method of computing the home office deduction. The home office deduction can be calculated by multiplying $5 by the square footage of the home 
office. The maximum square footage of the home office under this method is 300 square feet, and the maximum home office deduction will therefore be $1,500. Of course, taxpayers still have the option of calculating the home office deduction under the actual expenses method if it results in a larger deduction.
Taxpayers who use the simplified method may still fully deduct mortgage interest, real estate taxes, and casualty losses as itemized deductions. Additionally, businesses expenses such as advertising, wages, and supplies are still deductible. Depreciation may not be claimed.
If you need help with small business taxes,
sign up for a FREE tax consultation.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
Use the Power of Positive Mental Attitude to Lower Your Taxes (2017 Top Tax Scams)
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The IRS is in the process of releasing its 2017 Dirty Dozen list of tax scams. It updates this list each tax season to alert taxpayers of tax scams they may encounter during the filing season. Tax scams making the list this year include:
Falsely Padding Deductions
The majority of taxpayers file honest and accurate tax returns each year. However, each year some taxpayers “fudge” their information. This is why falsely claiming deductions, expenses or credits on tax returns remains on the “Dirty Dozen” list of tax scams.
Significant penalties may apply for taxpayers who file incorrect returns including:
- 20 percent of the disallowed amount for filing an erroneous claim for a refund or credit.
- $5,000 if the IRS determines a taxpayer has filed a “frivolous tax return.” A frivolous tax return is one that does not include enough information to figure the correct tax or that contains information clearly showing that the tax reported is substantially incorrect.
- In addition to the full amount of tax owed, a taxpayer could be assessed a penalty of 75 percent of the amount owed if the underpayment on the return resulted from tax fraud.
Taxpayers may be subject to criminal prosecution and be brought to trial for actions such as:
- Tax evasion
- Willful failure to file a return, supply information, or pay any tax due
- Fraud and false statements
- Preparing and filing a fraudulent return, or
- Identity theft.
Criminal prosecution could lead to additional penalties and even prison time.
Excessive Claims for Business Credits
Avoid improperly claiming the fuel tax credit, a tax benefit generally not available to most taxpayers. The credit is generally limited to off-highway business use, including use in farming. Taxpayers should also avoid misuse of the research credit. Improper claims generally involve failures to participate in or substantiate qualified research activities and/or satisfy the requirements related to qualified research expenses.
Inflated Refunds
“Exercise caution when a return preparer promises an extremely large refund or one based on credits or benefits you’ve never been able to claim before,” said IRS Commissioner John Koskinen. “If it sounds too good to be true, it probably is.”
Watch Out for Fake Charities
Be on guard against groups masquerading as charitable organizations to attract donations from unsuspecting contributors. Be wary of charities with names similar to familiar or nationally-known organizations. Contributors should take a few extra minutes to ensure their hard-earned money goes to legitimate and currently eligible charities. IRS.gov has the tools taxpayers need to check out the status of charitable organizations.
Watch Out for Crooked Tax Preparers
Be on the lookout for unscrupulous return preparers. The vast majority of tax professionals provide honest high-quality service. But there are some dishonest preparers who set up shop each filing season to perpetrate refund fraud, identity theft and other scams that hurt taxpayers. Legitimate tax professionals are a vital part of the U.S. tax system.
Be Vigilant Against Criminals
Tax-related Identity theft – with its related scams to steal personal and financial data from taxpayers or data held by tax professionals – remains a top item on the Dirty Dozen list because it remains an ongoing concern even though progress is being made.
The IRS and its partners remind taxpayers they can do their part to help in this effort. Taxpayers and tax professionals should:
- Always use security software with firewall and anti-virus protections.
- Make sure the security software is always turned on and can automatically update.
- Encrypt sensitive files such as tax records stored on the computer.
- Use strong passwords.
- Learn to recognize and avoid phishing emails, threatening phone calls and texts from thieves posing as legitimate organizations such as a bank, credit card company and government organizations, including the IRS. Do not click on links or download attachments from unknown or suspicious emails.
- Protect personal data. Don’t routinely carry a Social Security card, and make sure tax records are secure. Treat personal information like cash; don’t leave it lying around.
Phone Scams
Phone calls from criminals impersonating IRS agents remain an ongoing threat to taxpayers. The IRS has seen a surge of these phone scams in recent years as scam artists threaten taxpayers with police arrest, deportation and license revocation, among other things.
Phishing
Taxpayers need to be on guard against fake emails or websites looking to steal personal information. The IRS will never send taxpayers an email about a bill or refund out of the blue. Don’t click on one claiming to be from the IRS. Be wary of strange emails and websites that may be nothing more than scams to steal personal information.
If you have any questions on how this applies to you, please feel free to give us a call at 248-538-5331.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
Michigan’s New Minimum Wage
A little over two years ago, Governor Snyder signed a law that increased the minimum wage. Under this law, the minimum wage for 2017 will be $8.90. It will again increase in 2018 to $9.25 per hour. Beginning in January 2019, the minimum wage will be indexed for inflation. The minimum wage increase for each year will not take effect if the unemployment rate in Michigan is 8.5% or more in the year prior to the year of the minimum wage increase.
Training Wage is Still Available
As existed under prior law, an employer may pay a new employee who is under age 20 an hourly training wage of $4.25 for the first 90 days of that employee’s employment. After 90 days has passed, the employee must be paid at least minimum wage.
Minor Minimum Wage is Still Available
The minimum wage for an employee who is less than 18 years of age is 85% of the general minimum wage listed above. This is not a new rule.
Minimum Wage for Tipped Employees
The current minimum wage for tipped employees is $3.23 per hour. It will increase to $3.38 per hour in 2017. To qualify for this lower rate, the following must occur:
- the employee receives gratuities in the course of employment
- the tipped minimum wage plus the gratuities received must be at least equal to the general minimum wage (i.e., in 2016 the tips received per hour plus the tipped minimum wage of $3.23 must be at least equal to the general minimum wage of $8.50). If there is a shortfall, the employer must pay the shortfall to the employee.
Overview of Minimum Wage Rates
The schedule of minimum wage increases under the law signed two years ago is:
|
Minimum Wage |
Minimum Wage for Tipped Employees | Minimum Wage
for Minors |
Training Wage (first 90 days only) |
|
| Prior to September 1, 2014 |
$7.40 |
$2.65 | $6.29 | $4.25 |
| September 1, 2014 |
$8.15 |
$3.10 |
$6.93 |
$4.25 |
| January 1, 2016 |
$8.50 |
$3.23 |
$7.23 |
$4.25 |
|
January 1, 2017 |
$8.90 | $3.38 | $7.57 |
$4.25 |
| January 1, 2018 |
$9.25 |
$3.52 |
$7.86 |
$4.25 |
If you have any questions on how this applies to you, please feel free to give us a call.
Buzzkill Disclaimer: This post contains general tax information that may or may not apply in your specific tax situation. Please consult a tax professional before relying on any information contained in this post.
