Tax Tip of the Week | No. 292 | Inflation Adjustments for Various Tax Benefits

Tax Tip of the Week | March 4, 2015 | No. 292 | Inflation Adjustments for Various Tax BenefitsHere are the most common adjustments for 2014 tax returns....

Recently released Revenue Procedure 2014-61 contains annual inflation adjustments for more than 40 tax provisions, including the tax rate schedules and other tax changes.The tax items for tax year 2015 of greatest interest to most taxpayers include:•    The standard deduction rises to $6,300 for singles and married persons filing separate returns and $12,600 for married couples filing jointly.•    The limitation for itemized deductions to be claimed on tax year 2015 returns of individuals begins with incomes of $258,250 or more ($309,900 for married couples filing jointly).•    The personal exemption for tax year 2015 rises to $4,000, up from the 2014 exemption of $3,950.•    The annual exclusion for gifts remains at $14,000 for 2015.More information can also be found in IR-2014-104. http://www.irs.gov/uac/Newsroom/In-2015,-Various-Tax-Benefits-Increase-Due-to-Inflation-Adjustments You can contact us in Dayton at 937-436-3133 and in Xenia at 937-372-3504.  Or visit our website.Rick Prewitt - the guy behind TTW...until next week.