Child tax credit has increased to $2000 with the phase out also increasing from $200,000 to $400,000 for married filing jointly. This is good news as many taxpayers were not eligible for it as the phase out started at $125,000 previously.
Wow this is one area that Congress gave a big jump. The standard deduction for Single is now $12,000 and Married filing jointly is $24,000. If you itemized in the past you may not be able to do that now with the standard deduction being higher. If you are close see what can be done to get a donation in 2019 that you would have usually made in 2019 to get that extra deduction.
Are you one of those people who works that second job for some extra cash? The question is do you have enough taxes taken out? If you only work minimum hours each week your employer may not be withholding any federal tax because you fall below the thresholds. I strongly recommend that you take a look at this and make adjustments now before 2019 year is done.
In case you missed all the news the tax rates have changed. The 2018 rates are now 10%, 12%, 22%, 24%, 32%, 35% and 37%. Did you check your withholding’s in 2018? If you are now owing or getting a very small refund now is the time to adjust your From W-4 at work to get more Federal taxes taken out. contact the office with any questions you may have.
Did you know the new Form 1040 is a postcard size and the Forms 1040A and 1040EZ are no longer used forms? The Form 1040 now uses a building block approach with basis information on the 1040 and other schedules to be attached as needed. Unsure of the changes that took place please contact my office to schedule an appointment or drop off your information.
Happy New Year to All from Stearns & Company Accounting & Tax Services!
Enjoy this time with all your family and friends. Merry Christmas from Stearns & Company Accounting & Tax Services!
Less than 2 weeks until 2019 is here. Are you tax ready? Do you need to make adjustments to your withholding for 2019 for changes that happened at the end of 2018 or will change in the start of 2019? Need some guidance contact us to set up an appointment 610-681-8301.
Tax law changes for 2018! Do you know how they affect your tax return? Do you need help navigating the changes. Stearns and Company Accounting and Tax Services is here to help you. Contact us with your questions and to schedule an appointment 610-681-8301.