Higher tax rates and limits on itemized deductions are two of several provisions in President Obama’s proposed budget that would have an impact on high-income taxpayers. The FY 2013 budget proposal, released in mid February, includes a series of tax reform measures “to cut inefficient expenditures and move the tax system closer to observing the

The extension of the Bush-era tax rates into 2012 gave investors more clarity, but the ongoing debate about federal deficit reduction proposals is adding to uncertainty about tax policy beyond this year. Given the dynamic tax landscape, it may be a good time to meet with clients and review tax-planning strategies. Download our Tax outlook

Though there were no major changes in broad tax rates for 2012, there are some tax- and retirement-related changes from 2011 levels taxpayers should be aware of: Of these key changes, the reductions in the AMT exemption amount will have the most impact for taxpayers by far. Unless legislative action is taken, an estimated 25

Just days prior to the expiration of a payroll tax-cut provision, the U.S. House of Representatives and the Senate agreed to extend the cut into 2012. Congress also agreed to negotiate for a one-year extension. The provision, which went into effect in January 2011, reduced the tax paid to Social Security by 2%. As a

2011 was an eventful year with respect to overall awareness of the nation’s debt crisis. Though dialogue around reducing the federal budget deficit emerged in 2010 through the work of a couple of well-known commissions (Bowles-Simpson, Rivlin-Domenici), the overall crisis became front page news in 2011. This culminated in November with the failure of the

Unless legislative action occurs, 2012 marks the last year of a historically low tax environment. Beginning in 2013, income taxes are scheduled to increase – for some taxpayers in higher tax brackets that increase will be substantial: Tax item 2012* 2013* Ordinary income 35% 43.4% Dividends 15% 43.4% Capital gains 15% 23.8% Tax rates reflect

The Alternative Minimum Tax (AMT) will affect an additional 27 million taxpayers in 2012 if Congress fails to act and amend the income guidelines by the end of the year. Asking your clients if they have consulted with a tax preparer about the possible impact of the AMT provides an opportunity for you to discuss

As clients prepare for tax season, it is an opportune time to talk about the rules for gifting assets to family members as well as giving to charities. There are several strategies clients may want to consider to make the most of their gifts. Make a gift to family members For clients considering gifts to

As year-end approaches, it can be beneficial for clients to connect with their tax professionals to get a better sense of their personal status and discuss potential strategies to minimize their tax bite. One specific area to consider is tax deductions. Historically, as a taxpayer’s income has increased, the benefit of claiming itemized deductions like