Plain Language of Change:
- Individual exemption amounts and phaseout thresholds are temporarily increased from January 1, 2018 until December 31, 2025
- New exemption amounts are:
- $109,400 for married filing joint & surviving spouses;
- $70,300 for single and head of household
- $54,700 for married filing separately
- Exemption amount phases out at 25% for each dollar over $1 million for married filing joint and surviving spouses or $500,000 for all others.
- Exemption amounts & phaseout thresholds for estate and trusts are not impacted.
- Amounts adjusted annually for inflation
Cordasco & Company PC is a boutique CPA firm specializing in federal and state tax issues. We provide customized tax and accounting services specifically designed to help our clients capitalize on the rapidly changing tax and accounting environments.