New Rules for 2014 Taxes

While taxes are certain in life, there is no guarantee that the rules that apply to these taxes will remain the same each year. In fact, 2013 saw a number of IRS changes that will affect many taxpayers, especially those in the upper tax brackets.

Here’s what you need to know this tax season, which opens January 31st:

If your income is above $200,000 (or $250,000 as a married couple filing jointly)…

* All or part of your net investment income may be subject to an additional 3.8% Medicare tax.

* If your income is a combination of salary and self-employment income, you will be responsible for an additional 0.9%    Medicare tax (on top of the original 2.9%).

If your income is above $250,000 (or $300,000 as a married couple filing jointly or $275,000 for head of household)…

* Some personal and dependent exemptions might be cut down or eliminated.

* … Read More