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Estates of decedents who die during 2014 have a basic exclusion amount of $5,340,000, up from a total of $5,250,000 for estates of decedents who died in 2013.

As of October 2013, fourteen state governments (those of Massachusetts, California, Connecticut, Iowa, Vermont, New Hampshire, New York, Maine, Maryland, Washington, Delaware, Rhode Island, Minnesota and New Jersey) along with the District of Columbia, the Coquille Indian Tribe, the Suquamish tribe, the Little Traverse Bay Bands of Odawa Indians, the Pokagon Band of Potawatomi Indians, the Iipay Nation of Santa Ysabel, and the Confederated Tribes of the Colville Reservation issue same-sex marriage licenses.

The tax rate of 39.6 percent affects singles whose income exceeds $406,750 ($457,600 for married taxpayers filing a joint return), up from $400,000 and $450,000, respectively. The other marginal rates – 10, 15, 25, 28, 33 and 35 percent – and the related income tax thresholds are described in the revenue procedure.

The standard deduction rises to $6,200 for singles and married persons filing separate returns and $12,400 for married couples filing jointly, up from $6,100 and $12,200, respectively, for tax year 2013.
The standard deduction for heads of household rises to $9,100, up from $8,950.

The limitation for itemized deductions claimed on tax year 2014 returns of individuals begins with incomes of $254,200 or more ($305,050 for married couples filing jointly).

The personal exemption rises to $3,950, up from the 2013 exemption of $3,900.
However, the exemption is subject to a phase-out that begins with adjusted gross incomes of $254,200 ($305,050 for married couples filing jointly).
It phases out completely at $376,700 ($427,550 for married couples filing jointly.)

No. A taxpayer’s spouse cannot be a dependent of the taxpayer.

No. If a taxpayer’s spouse itemized his or her deductions, the taxpayer cannot claim the standard deduction

The Net Investment Income Tax is imposed by section 1411 of the Internal Revenue Code (IRC). The NIIT applies at a rate of 3.8 percent to certain net investment income of individuals, estates and trusts that have income above the statutory threshold amounts.

The Net Investment Income Tax went into effect on Jan. 1, 2013. The NIIT affects income tax returns of individuals, estates and trusts for their first tax year beginning on (or after) Jan. 1, 2013. It does not affect income tax returns for the 2012 taxable year filed in 2013.