The tax day is not so far and it is advised that taxpayers know the tax changes this year from the core before it gets late.
Here are the most important Tax Changes that have or will be taken place this year;
Tax Day Deadline
The traditional Tax Day is April 15th but this year, it is April 18th. The reason for the delay is the Emancipation Day falling on the weekend.
Obamacare Tax Penalties
The penalties were $95 per adult and 1% of income in 2014. In 2015, it increased to $285 per adult and 2% of income above the filing limit. This year, we will witness the boost in penalty limits up to $695 per adult or 2.5% of income.
For Inflation, tax brackets that administer different classes of taxpayer groups will be adjusted. The rise will be approximately 0.4%.
Head of the Family Filers
The standard deductions for the taxpayers are kept stable in 2016 with the help of low inflation rate. This includes single, married filers, married filing separated spouses. The standard deduction will increase from $50 to $9,300 in 2016.
Personal exemptions are ascending
The taxpayers will enjoy an exemption amount of $40.50 in 2016.
This year, the personal exemption that the taxpayers are entitled to will raise up to $50.
Tax Help MD
For all taxpayers who need to know more information regarding taxes or need to resolve a tax, issue can simply contact Tax Help MD Professionals. It is ideal before the 18th April so that all the taxes can be sorted out well in time.