Federal TaxKey Facts Figures - PDF document

Federal TaxKey Facts Figures Income Taxes Social Security Maximum Compensation Subject to FICA20142015OASDI Maximum$117,000$118,500HI MaximumNo LimitNo Limit 12.4% self-employed, 6.2% employees 2.9% self-employed, 1.45% employees* Additional 0.9% tax imposed on certain higher-income taxpayers.Maximum Amount of Earnings to Still Receive Full BeneÞ ts20142015Under full retirement age$15,480$15,720MAGI Amounts for BeneÞ ts to Be Taxable50% Taxable85% TaxableMarried Filing Jointly$32,000$44,000Single$25,000$34,000 Education Incentives Other Tax Rates Capital Gains and Qual. Short TermLong TermQual. Div.10%, 15% bracketsordinary rates0%0%25% – 35% brackets*ordinary rates15%15%39.6% bracket*ordinary rates20%20%* Additional 3.8% tax imposed on net investment income of higher-income taxpayers. Kiddie Tax  Under age 19 (or certain full-time students under age 24) with unearned income consisting solely of interest, dividends and CGD; and child’s gross income is less than $10,000 in 2014 or less than $10,500 in 2015 – use Form 8814 with parent’s return. If child  les own return – use Form 8615 with child’s return to calculate tax at parent’s marginal rate.20142015First$1,000$1,050No TaxNext$1,000$1,050Taxed at child’s marginal rateAmount Over$2,000$2,100Taxed at parent’s marginal rateAMT Rates for Individuals AMTI ThresholdAMT 20142015Single, MFJ, $0 - $182,500$0 - $185,40026%$182,501 or more$185,401 or more28%$0 - $91,250$0 - $92,70026%$91,251 or more$92,701 or more28%AMT Exemption20142015Single, HoH$52,800$53,600MFJ$82,100$83,400MFS$41,050$41,700 Purpose20142015Business56¢ per mile57.5¢ per mileMedical23.5¢ per mile23¢ per mileCharitable14¢ per mile14¢ per mileMoving23.5¢ per mile23¢ per mile If Taxable Income Is:ThanThe Tax Is If Taxable Income Is:ThanThe Tax IsMarried Filing Jointly:$0 $18,450 $0 + 10%$0 18,45074,9001,845.00 + 15%18,45074,900151,20010,312.50 + 25%74,900151,200230,45026,387.50 + 28%151,200230,450411,50051,577.50 + 33%230,450411,500464,850111,324.00 + 35%411,500464,850129,996.50 + 39.6%464,850Married Filing Separately:$0 $9,225 $0 + 10%$0 9,22537,450922.50 + 15%9,22537,45075,6005,156.25 + 25%37,45075,600115,22514,693.75 + 28%75,600115,225205,75025,788.75 + 33%115,225205,750232,42555,662.00 + 35%205,750232,42564,998.25 + 39.6%232,425$0 $13,150 $0 + 10%$0 13,15050,2001,315.00 + 15%13,15050,200129,6006,872.50 + 25%50,200129,600209,85026,722.50 + 28%129,600209,850411,50049,192.50 + 33%209,850411,500439,000115,737.00 + 35%411,500439,000125,362.00 + 39.6%439,000$0 $9,225 $0 + 10%$0 9,22537,450922.50 + 15%9,22537,45090,7505,156.25 + 25%37,45090,750189,30018,481.25 + 28%90,750189,300411,50046,075.25 + 33%189,300411,500413,200119,401.25 + 35%411,500413,200119,996.25 + 39.6%413,200 Individual Estimated Taxes s TRADITIONAL IRA DEDUCTIBILITY RULES ed AGICovered by QualiÞ ed 20142015Single, NoAny amountAny amountFull DeductionYes$60,000 or lessPartial Deduction MarriedNeither spouseAny amountAny amountFull DeductioncoveredPartial Deduction covered: for covered spousePartial Deduction covered: for non-covered spousePartial Deduction Married Separately, lived for any part of the year year, treated Neither spouse Any amountAny amountFull deductioncoveredPartial deductioncovered: for covered spousePartial deductionOne spouse covered: for non-covered spousePartial deduction CONTRIBUTION LIMITS - TRADITIONAL AND ROTH20142015Regular$5,500$5,500Catch-up*$1,000*Individuals who will be at least age 50 by the end of the year can make catch-up contributions. ROTH IRAsMAGI Phaseout Ranges for Contributions to Roth IRAs20142015Married Filing Jointly$181,000 – $191,000$183,000 – $193,000Single, Head of Household$114,000 – $129,000$116,000 – $131,000Married Filing Separately$0 – $10,000$0 – $10,000 Individuals can base federal estimated tax payments on:1) 90% of current tax,2) 100% of prior year’s tax, or3) 110% of prior year’s tax if prior year’s AGI is �� $150,000 ( $75,000 for Married Filing Separately) Annualization exception No penalty if tax tax year ed Plans 20142015Maximum elective deferral to retirement plans (e.g., 401(k), 403(b))$17,500$18,000Maximum elective deferral to SIMPLE IRA plans$12,000$12,500Maximum elective deferral to 457 plans or exempt employers$17,500$18,000Limit on annual additions to Keogh plans and SEP-IRAs$52,000$53,000Limit on annual additions to de ned contribution plans$52,000$53,000Maximum annual compensation taken into account for contributions$260,000$265,000Annual bene t limit under de ned bene t plans$210,000$210,000Threshold amount for de nition of highly compensated employee$115,000$120,000Threshold amount for de nition of key employee in top-heavy plans$170,000$170,000Catch-up Contribution Limits*401(k), 403(b), SARSEP and 457 plans$5,500$6,000SIMPLE plans$2,500$3,000* Individuals who will be at least age 50 by the end of the year can make catch-up contributions. Exemptions Gift Taxes Personal ExemptionsExemptionAGI Threshold/Married Filing Jointly/Surviving Spouse2014$3,950$305,050/$427,5502015$4,000$309,900/$432,400Married Filing Separately2014$3,950$152,525/$213,7752015$4,000$154,950/$216,2002014$3,950$279,650/$402,1502015$4,000$284,050/$406,5502014$3,950$254,200/$376,7002015$4,000$258,250/$380,750Code Sec. 179 Expense Allowance20142015$500,000$25,000Investment limitation$2,000,000 Standard DeductionsAnnualAddÕl Age 65 or Older Married Filing Jointly/Surviving Spouse2014$12,400$1,2002015$12,600$1,250Married Filing Separately2014$6,200$1,2002015$6,300$1,2502014$9,100$1,5502015$9,250$1,5502014$6,200$1,5502015$6,300$1,550Phaseout of Itemized DeductionsAGI Threshold20142015MFJ/SS$305,050$309,900MFS$152,525$154,950HoH$279,650$284,050Single$254,200$258,250 Annual Gift Tax Exclusion$14,000$14,000 for Noncitizen Spouses $145,000$147,000Estate Tax Exclusion$5,340,000$5,430,000Applicable Credit$2,081,800$2,117,800Gift Tax Exclusion$5,340,000$5,430,000GST Tax Exemption$5,340,000$5,430,000 Credits Exclusions Child Tax Credit 20142015 $1,000$1,000Phases out $50 for each $1,000 MAGI over $110,000 (married  ling jointly), $75,000 (single) or $55,000 (married  ling separately).Foreign Income 20142015Foreign earned income exclusion$99,200$100,800Maximum foreign hous-ing exclusion of quali ed housing expenses Loaded with FREE, convenient, user-friendly online tools and resources including: CCH Tax Brie ngsHR Compliance LibraryU.S. Master Tax Guide www.paychex.com/accounting-professionals