Deductible Medical—– now EVERYONE can only deduct those qualified expenses that are over 10% of adjusted gross income. For the last couple years it’s been 7.5% for those 65 and over but that has come to an end.
Earned Income Tax Credit– a maximum of $6,318 for those with 3 or more children
Foreign Earned Income Exclusion – went up the $102,100.
Personal exemption (amount you normally get to deduct from taxable income per person)- $4,050
You start losing the ability to deduct this when adjusted gross income exceeds $261,500 if Single, $313,800 if Married Filing Joint, $287,650 is Head of Household, $156,900 if Married Filing Separate.
Kiddie Tax – kids under 19 or under 24 if a college student – a higher tax if they have over $2,100 in unearned income.
Student Loan Interest Deduction – Up to $2,500 deductible. Lose the ability to deduct when income exceeds $65,000 ($135,000 Married Filing Joint).
Transportation and Parking Benefits – monthly limit that can be a nontaxable fringe benefit is $255.