Federal Individual Income Taxation - muohioedu联邦个人所得税muohioedu.pptVIP

Ind. Income Tax Ind. Income Tax * Ind. Income Tax * Federal Individual Income Taxation * Ind. Income Tax * Outline of the Federal Individual Income Tax * Ind. Income Tax * Common Tax Forms 1040 - Federal Income Tax Schedule A - Itemized Deductions Schedule B - Interest and Ordinary Dividends Schedule C - Profit and Loss from Business Schedule D - Capital Gains and Losses Schedule E - Supplemental Income and Loss * Ind. Income Tax * Income Reporting Forms(Amounts Are Adjusted frequently) * Ind. Income Tax * Exclusions in general Gifts Inheritances Life Insurance Proceeds Gain on the sale of a personal residence - limitations Social Security benefits - limitations Employee Benefits Group Term Life Group Health Excluded, Pension are deferred Interest on state and local government obligations * Ind. Income Tax * Itemized or Standard DeductionMar-$10,900, Single- $5,450 (2008) * Ind. Income Tax * Single Tax Rates 2008(subject to annual adjustments) * Ind. Income Tax * Calculate Tax on $50,000 (2008) * Ind. Income Tax * Partial List of Personal Tax Credits * Ind. Income Tax * Municipal Bond Example Marginal tax rate (MTR) = 35% Yield on taxable bond = 6.3% Yield on non-taxable bond = 3.86% 6.3 x (1 – 0.35) = 6.3 x 0.65 = 4.095 Return on taxable better at 35% MTR At marginal tax rate = 40% 6.3 x (1 - 0.40) = 6.3 x 0.60 = 3.78% Yield on non-taxable better. * Ind. Income Tax * Social Security Wage + Pension + Investment Dividend + Capital Gains + Tax Exempt Income + 50% of SS Income = provisional income. First Tier Lesser of 50% of your benefits or 50% of above the provisional income threshold is to be included in taxable income. Single threshold $25,000 Married threshold $32,000 Married filing individually threshold $0 Second Tier If provisional income exceeds 44,000 (married filing jointly or 34,000 (all others) up to 85% of Social Security Income subject to tax. Phased up to 85% First Tier Example: Married, Joint, SS= $20,000; Int. Div, Cap Gain, Etc. $15