Gelman, Rosenberg & Freedman CPAs has issued a special Federal Tax Watch publication to provide information about the new taxes and tax break extensions signed into law by President Obama on January 2, 2013. Entitled the American Taxpayer Relief Act of 2012, the legislation was developed by Congress to avert the worst effects of sudden significant tax hikes and federal spending cuts—commonly known as the “fiscal cliff”—that would have otherwise occurred.
The Federal Tax Watch publication details how the tax changes will affect businesses and individuals in the following categories:
- Income tax increases for the wealthiest
- Maximum tax on capital gains and dividends
- Estate and gift tax rate increases
- Alternative minimum tax adjusted for inflation
- Adoption assistance permanently enhanced
- Charitable distributions from IRAs reinstated
- Personal tax credits extended
- Other expired tax provisions extended two years
- Various temporary tax provisions made permanent
- Payroll tax holiday allowed to expire
- Expired business provisions extended
- New healthcare taxes: hospital insurance tax on high-income individuals
- New healthcare taxes: Medicare tax on investment income
- Medical expense itemized deduction threshold
Our firm is also tweeting details of the American Taxpayer Relief Act of 2012. Follow us if you use Twitter.
We also recommend subscribing to our industry alerts, which we distribute electronically to clients and interested friends whenever significant new tax legislation is pending or has recently passed. Complete the fields in the right column of the page with your name and email address, and select “Individual and Corporate Tax” as the industry alert category before hitting “Submit”.