CAPBT Blog: A Dozen Tax Planning Triggers

A Dozen Tax Planning Triggers

With all the tax law changes for 2013 here are some things that should trigger you to conduct a full tax planning session to ensure your tax bill next year is not higher than it needs to be.


	You owed tax in 2012. With tax rate increases in 2013 you may be in for a big surprise.
	Your household income is over $150,000 single and $200,000 joint. There are a number of new taxes that could impact you and your family. This includes things like; itemized deduction phase-out, exemption phase-outs, increase in capital gains tax rate, increase in general dividend tax rate, new medicare surtaxes plus more.
	You are getting married or divorced. The tax penalty for being married is higher than ever. Are you prepared?
	You have kids attending college next year. There are a number of tax programs that can help.
	You have a small business. There are depreciation benefits plus new tax laws, mentioned earlier, that will also impact any "flow through" business entity like Sub Chapter S or LLC companies.
	You plan on selling investments. Capital Gains tax rates can now range from 0% to 39.6% (or even higher with Medicare surtaxes added in 2013).
	There are changes in your employer provided benefits. These changes could impact your taxable income this year.
	You buy, sell or go through home foreclosure. Understanding foreclosure tax programs could save you thousands.
	You have major medical expenses. The threshold for itemized medical deductions goes from 7.5% to 10% for those under 65 years old.
	You recently lost or changed jobs. Federal unemployment benefits remain extended over historical levels.
	You have not conducted a tax withholding review. New tax rates and laws, including the reintroduction of 6.2% Social Security tax could catch you by surprise.
	Your estate has not been reviewed in the past 12 months. New gift tax and estate tax laws make 2013 a key year for an estate tax review.