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2008 Updates  

Standard Deduction

$5,450

Married, filing jointly

$10,900

Married, filing separately

$5,5450

Head of Household

$8,000

65 year or older, or blind

Additional $1,050 for married taxpayers

65 years or older, or blind

Additional $1,350 for single taxpayers

Personal Exemption

$3,500

IRA Contribution (under 50)

$5,000

IRA Contribution (over 50)

$6,000

ROTH IRA Phase-out

Single

$101,000 - $116,000

Married, filing jointly

$159,000 - $169,000

Married, filing separately

$0 - $10,000

SEP Contribution

25% of compensation (limit $46,000)

Retirement plans contributions - 401(k), 457, 403(b)

under age 50

$15,500

age 50 and older

$20,500

Gift Tax Exclusion

$12,000 per year (Max of $60,000 per 5 year)

Estate Tax Exclusion

$2,000,000

Social Security taxable Amt

$102,000 max - from salary of self-employment income

Not  Taxable for total of

less than $25,000 SS income MAGI

50% Taxable (single)

$25,000 - $34,999

85% Taxable ((single)

$35,000 and above

50% Taxable (married)

$32,000 - $43,999

85% Taxable (married)

$44,000 and above

Education Credit (HOPE)

$1,800

Education Credit (Lifetime)

$2,000

Student loan deduction

$2,500

Tuition and fee deduction

$4,000 (either credit or deduction, not both)

IRS Mileage rates (business)

01/01/2008 - 06/30/2008

50.5 cents per mile

07/01/2008 - 12/31/2008 58.5 cents per mile
Medical and moving

01/01/2008 - 06/30/2008

19 cents per mile
07/01/2008 - 12/31/2008 27 cents per mile
Charitable volunteers
Year 2008 14 cents per mile
Long-term Care Premiums as medical Expense deduction
Age 40 or under $310
Over 40 but not over 50 $550
Over 50 but not over 60 $1,150
Over 60 but not over 70 $3,080
Over 70 $3,850
Kiddie tax exemption $1,800

 

 


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