2015 has started quite easily with the overall tax changes, but in the past 6 months there have been quite a lot of tax changes to be had, and in this article we are going to focus on the most important tax changes that happened throughout the year. If you want to get a good insight on the 2015 tax changes, read onward!
Health insurance penalties
The health insurance penalty has increased to 2% of the entire household income, so if you have any penalties you do need to pay the insurance as fast as possible, otherwise this can prove to be a bad thing since it can bring plenty of bad results as a whole.
The 401(k) Limits have increased to $18000, which is around $500 more when compared to the previous year. This basically means that you need to talk with the payroll department so that they know the 401(k) Limits on the overall employee contributions have increased significantly.
Flexible Spending Account Limit
On top of that, the Flexible Spending Account Limit has increased and now it’s $2550 for all the qualified health care expenses, with around $50 more than 2014, which is something you need to opt for right away if you want to take complete advantage of the health care FSA.
Another important change lies in the form of the Standard Deduction which is basically rising to $6300 for a single filer and around $12600 for married taxpayers. This is a $100 raise for singles and $200 for married ones, and this is crucial for withholding and tax planning as a whole, since you can’t itemize the deductions that will be able to surpass the amount.
Tax Brackets for 2015 have been adjusted for inflation, and the highest tax rate which is 39.6% applies to the single filers that make over $413200 per years and married couples that earn around or more than $464850. The overall figures are up with around 1.6% when compared to the previous year, so you should totally keep that in mind at all times.
Starting with this year, you can make only a single rollover from the IRA during the year. It can be a tricky situation, but one that is completely understandable considering the current situation. If you want to protect yourself in such a situation, you will need to limit the rollovers to direct transfer, especially if you want to move money multiple times during the year.
The AMT Changes are around 1.5% upwards when compared to the previous year, and they are $53600 for individuals as well as around $83400 for the joint filers.
As you can see, there are plenty of new tax laws that we have to obey this year, so don’t hesitate and take a good look at them. They will help you determine what changes have to be made within your comp-any or how you can tackle your personal tax returns in a more efficient manner!