IRS Releases 2014 Inflation Adjusted Tax Figures
Estate and Gift Tax Numbers:
The inflation adjusted amounts for United States Estate and Gift Tax purposes for 2014 are as follows:
Estate Tax Exclusion:
• increased to $5,340,000 (up from $5,250,000 in 2013)
Annual Gift Tax Exclusion:
• remains at $14,000
Income Tax Numbers:
The inflation adjusted amounts for United States Income Tax purposes for 2014 are as follows:
Standard Deductions:
• $6,200 for single filing taxpayers and married taxpayers filing separately
• $12,400 for married taxpayers filing jointly
• $9,100 for taxpayers filing head of household
Personal Exemption:
• increased to $3,950
Earned Income Credit:
• The maximum earned income tax credit has increased to $6,143
Retirement Plan contribution limits remain unchanged for 2014:
• 401(k), 403(b), 457 Plans and Thrift Savings Plans contribution limit - $17,500
• Catch-up contribution limit for individuals over 50 - $5,500
Income Tax Brackets for 2014 are as follows:
Tax Rate | Single | Married Filing Joint | Married Filing Separate | Head of Household |
10% | Up to $9,075 | Up to $18,150 | Up to $9,075 | Up to $12,950 |
15% | $9,076 - $36,900 | $18,151 - $73,800 | $9,076 - $36,900 | $12,951- $49,400 |
25% | $36,901- $89,350 | $73,801 - $148,850 | $36,901 - $74,425 | $49,401- $127,550 |
28% | $89,351 - $186,350 | $148,851 - $226,850 | $74,426 - $113,425 | $127,551- $206,600 |
33% | $186,351- $405,100 | $226,851 - $405,100 | $113,426 - $202,550 | $206,601- $405,100 |
35% | $405,101-$406,750 | $405,101 - $457,600 | $202,551 - $228,800 | $405,101- $432,200 |
39.6% | Over $406,750 | Over $457,600 | Over $228,800 | Over $432,200 |
If you have questions or concerns on the 2014 Inflation Adjustments and how it may impact your taxes, please call one of the following tax attorneys at MacDonald Illig Jones & Britton LLP:
• John A. Lauer - (814) 870-7712
• James E. Spoden - (814) 870-7710
• J. W. Alberstadt, Jr. - (814) 870-7750
• Shaun B. Adrian - (814) 870-7758
• Michael P. Thomas - (814) 870-7711
• S. Craig Shamburg - (814) 870-7716
• Nicholas J. Holland - (814) 870-7717
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