What's New for the 2024 Tax Year
We are here for you to answer any questions you may have but before you call, email or text, check out the information below to find a potential answers to your questions.
Dates for the 2025 Tax Season
Tax Season starts on Monday, January 27, 2025 and ends on April 15, 2025.
Income tax brackets for 2024
Dates for the 2025 Tax Season
Tax Season starts on Monday, January 27, 2025 and ends on April 15, 2025.
Income tax brackets for 2024
Standard Deduction for 2024
1099-K Reporting changes for 2024
Those that receive payments through third-party networks like PayPal®, Venmo®, or eBay®, the 1099-K reporting requirements has changed. These changes mean that any earnings of $5,000 or more from payment platforms will trigger a 1099-K form in 2024. If you are an online seller or have a side gig, make sure you understand this tax form and include it with your tax paperwork.
Here’s what’s new for tax year 2024:
Those that receive payments through third-party networks like PayPal®, Venmo®, or eBay®, the 1099-K reporting requirements has changed. These changes mean that any earnings of $5,000 or more from payment platforms will trigger a 1099-K form in 2024. If you are an online seller or have a side gig, make sure you understand this tax form and include it with your tax paperwork.
Here’s what’s new for tax year 2024:
Capital Gains Tax Rates
Profits from selling assets (stocks, real estate, crypto, etc.) are subject to capital gains taxes. Short-term gains (assets held for one year or less) are taxed as ordinary income. Long-term gains rates (for assets held over a year) max out at 20%. The 2024 long-term gain tax rates and brackets are:
Profits from selling assets (stocks, real estate, crypto, etc.) are subject to capital gains taxes. Short-term gains (assets held for one year or less) are taxed as ordinary income. Long-term gains rates (for assets held over a year) max out at 20%. The 2024 long-term gain tax rates and brackets are:
Important contribution changes for 2024
Check the status of your refund
Once your tax return has been completed and e-filed, taxpayers can track their refund using the Where's My Refund? tool.
Can't find the answer to your question? Please feel free to email us at [email protected] and we will respond to you as soon as possible.
- 401(k) contributions: Individuals can contribute up to $23,000 to 401(k) plans in 2024 (up from $22,500 in 2023). If you are 50 or older, you can contribute up to $30,500.
- IRA contributions: The annual contribution limit for IRAs in 2024 is $7,000 (up from $6,500 in 2023). If you are 50 or older, you can contribute up to $8,000. If you have a SIMPLE IRA, you can contribute up to $16,000 in 2024 (up from $15,500 in 2023).
- Health flexible spending accounts: In 2024, you can contribute up to $3,200 in employee salary reductions to fund your health flexible spending arrangement.
- Medical Savings Accounts (MSAs): Deductible ranges and out-of-pocket expenses for MSAs also increased. For individuals with self-only coverage, the plan must have an annual deductible of at least $2,800, at most $4,150, and an out-of-pocket expense limit of $5,550. For families, the annual deductible must be at least $5,550 but no more than $8,350, with an out-of-pocket expense limit of $10,200.
- Social Security tax limit: For 2024, the maximum earnings subject to the Social Security payroll tax increased to $168,600 (up from $160,200 in 2023). This means the maximum Social Security tax you can have withheld from your paycheck in 2024 will be $10,453.20.
- Alternative minimum tax (AMT): The Alternative Minimum Tax exemption amount for 2024 is $85,700 (up from $81,300) and begins to phase out at $609,350. The AMT exemption for married couples filing jointly is $133,300 (up from $126,500) and begins to phase out at $1,218,700.
- Bonus depreciation: In 2024, businesses can deduct 60% in first-year bonus depreciation (down from 80% in 2023).
- Fringe benefits: The monthly limit for tax-free qualified transportation and parking fringe benefits increased to $315 (up from $300 in 2023).
- Gift tax exclusions: The annual gift tax exclusion increased to $18,000 for 2024 (up from $17,000 in 2023). You can gift someone up to this amount during the tax year without filing a gift tax return. The lifetime exclusion also increased to $13.61 million (up from $12.92 million).
- Qualified adoption expenses: The maximum credit for adoption expenses increased to $16,810 (up from $15,950 in 2023).
- Foreign earned income exclusion: For 2024, the foreign earned income exclusion (FEIE) available to expats is $126,500 (up from $120,000 in 2023). If you qualify, you can exclude foreign earnings from your income up to this amount.
Check the status of your refund
Once your tax return has been completed and e-filed, taxpayers can track their refund using the Where's My Refund? tool.
Can't find the answer to your question? Please feel free to email us at [email protected] and we will respond to you as soon as possible.
