Tax Law Changes

Chapter 1: Federal assess Law Changes 2011 Due run into of show The due date for the US Individual Income Tax Return for Tax Year 2011 is April 17, 2012. The due date is April 17, alternatively of April 15, because April 15, 2012 is a Sunday and April 16, 2012, is the Emancipation Day holiday in the regulate of Columbia. Wage Threshold for Household Employees For 2011, the social warrantor and Medicare earnings threshold for household employees remains unchanged at $1,700. This federal agency that tax put upers who paid a household employee notes wages of slight than $1,700 in 2011 do not have to report and remunerate social surety and Medicare taxes on that employees 2011 wages. . Income Limits Increased for Excluding pedagogics Savings draw Interest For 2011, the amount of the affaire exclusion is phased bulge for unify Filing Jointly taxpayers or Qualifying Widow(er) taxpayers whose modify AGI is amid $106,650 and $136,650. If the modified AGI is $1 36,650 or more, no tax deductive reasoning is totallyowed. For champion and Head of Household filing statuses, the amour exclusion is phased deviation for taxpayers whose modified AGI is between $71,100 and $86,100. If the modified AGI is $86,100 or more, no deduction is includeed. Introduction Generally, you must(prenominal) pay tax on the interest earned on U.S. savings bonds.

If you do not allow in the interest in income in the years it is earned, you must implicate it in your income in the year in which you interchange in the bonds. However, when you cash in certain savings bonds at a lowe r place an culture savings bond program, yo! u may be fitting to shut out the interest from income. Who Can Cash In Bonds Tax eject You may be able to cash in fit U.S. savings bonds without having to include in your income both(prenominal) or all of the interest earned on the bonds if you support the following conditions. You pay qualified education expenses for yourself, your spouse, or a dependent for whom you cry an exemption on your return. Your modified familiarised gross income (MAGI) is...If you involve to get a full essay, say it on our website: OrderCustomPaper.com

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