Current Tax News Items
Monthly social security income benefits increased by 2.8% in 2019. The wage base maximum for social security taxes increased to $132,900
The alternative minimum tax (AMT) exemption for 2019 for married taxpayers filing joint returns will be $111,700 and for single taxpayers $71,700
Mileage Rates for 2019
The mileage rates for 2019 are 58 cents for business use of an automobile.
Capital Gains tax rates and Dividends
Capital gains are taxed at 0%, and 20%. The 0% rate applies to taxpayers otherwise in the tax bracket of 15% or 20% for regular tax purposes. Taxpayers in the regular tax brackets of 25% or greater have a 20% capital gains tax rate.
Dividends received by an individual shareholder from domestic and qualified foreign corporations generally are taxed at the same rates that apply to capital gains.
Estate and Gift Taxes
The Estate and Gift Tax lifetime exclusion is $11,400,000 for 2019. It will be adjusted for inflation on a yearly basis.
The annual gift tax exclusion is now $15,000.
The Standard deduction for 2019 increases to $12,200 for single and to $24,400 for married filing jointly