Alternative Minimum Tax

Alternative Minimum Tax - Tax Rates - 2013

Asked Thursday, January 12, 2012 by an anonymous user

CPA Answer:

All filing status's except MFS
AMT taxable income between $0 and $179,500 = 26%
AMT taxable income greater than $179,500 = 28%
filing status of MFS:
AMT taxable income between $0 and $89,750 = 26%
AMT taxable income greater than $87,500 = 28%
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Taxes - My Tax Return

How do I file my current year’s tax return if my spouse passed away during the year?

Asked Tuesday, January 10, 2012 by an anonymous user

CPA Answer:

You should file a "joint" tax return and include the deceased income earned and applicable deductions prior to your spouse's death. A joint return is filed by you and the executor or administrator. Do not include income earned after the date of death. This income is considered "income in respect of a decedent" and is taxed to the Estate or beneficiary receiving the income in the year of the receipt. The income must be reported by the Estate (if more than $600) on Form 1041. Speak to your local CPA about the personal and Estate tax returns that you need to file.
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Head of Household

Tax Rate Schedule - Head of Household - 2016

Asked Tuesday, January 10, 2012 by an anonymous user

CPA Answer:

For 2016:
The Tax between 0 and $13,250 = 10%,
between $13,251 and $50,400 the Tax = 1,325 plus 15% over 13,250
between $50,400 and $130,150 the Tax = 6,897.50 plus 25% over 50,400,
between $130,150 and $210,800 the Tax = 26,835 plus 28% over 130,150,,
between $210,800 and $413,850 the Tax = 49,417 plus 33% over 210,800
>between $413,350 and $441,000 the Tax = 116,258.50 plus 35% over 413,350
over $441 the Tax = 125,936 plus 39.6% over 441,000
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Head of Household

I am filing as head of household , what is the Gross income amount to determine if I must file a tax return

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

For the current year, If your filing status is head of household and you are under 65 then your gross income must be at least $12,850 ($12,500 in 2012). If you are 65 or older then your gross income must be at least $14,350 ($13,950 in 2012). Gross income does not include Social Security benefits.
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Head of Household

Can I file as head of household , I am single and live alone and have no dependents ?

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

No. To use the Head of Household filing status, you must have paid over half the cost of keeping up a home for you and a child or other qualifying person for over half the year.
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Married Filing Separately

Filing married filing separately - gross income amount to determine filing a tax return

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

For the current year, If your filing status is married filing separately then your gross income must be at least $3,900. There is no age test. Gross income does not include social security benefits.
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Married Filing Separately

I am legally married . Must I file a joint tax return ?

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

No. If you are married (as of the last day of the year),you may elect to file using the status of married Jointly or married Separately. Generally, separate tax returns may be more beneficial and save both people money, especially when both people have earnings and taxable income, and high medical or miscellaneous itemized deductions. Filing separately may allow more of the phased-out itemized deductions which are based on the taxpayer(s) Adjusted Gross Income.
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Married Filing Separately

I got married during the year. Can I still file as single for this year?

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

No. If you are married on the last day of the year, you must file either married filing jointly or married filing separately. You are not allowed to file as a single or Head of Household.
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Married Filing Separately

Married filing Separately - benefits lost

Asked Thursday, January 05, 2012 by an anonymous user

CPA Answer:

If you are Filing as Married filing separately, you must have lived apart from your spouse for the last 6 months of the year to take advantage of the dependent care, earned income, elderly credits and the $25,000 rental loss allowance.
Also Social Security will be 85% taxable.
Speak to your local CPA about the tax strategy of using married filing jointly or married filing separately.
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