Federal Tax Law
Changes – Tax Year
2015
Pub 4012 – Pages Ext 1 – 8
Pub 4491 – Pages iii – vi
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Federal Tax Law Changes 2015
● New provisions
● Indexing
● Extended provisions
● Due Dates
● Social security number printouts
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New Provisions
● In scope:

1099-R Code L used for a Loan treated as a
deemed distribution

Schedule C expenses now up to $25,000
 Can
expense business assets of less than
$500 – Form 4562 not required

1099-QA Distributions from ABLE accounts

1099-LTC Long Term Care and Accelerated
Death Benefits
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New Provisions
● IRS is assigning IP Pins to dependents

Will need to input on Main Info Sheet
● Taxpayer can designate a contribution to
a myRA on Form 1040, Line 76 (tbc)
● Mandatory exclusion of qualified
Medicaid waiver payments for difficulty
of care services
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New Provisions
● Must have SSN (not ITIN) by due date of
return for Earned Income Credit

May not file amended returns to claim
EIC after getting a SSN
● May not amend a prior year return to
claim Child Tax Credit or American
Opportunity Credit for dependent who
later received an ITIN or SSN
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Not-so-New Provisions
● Out of scope:

ACA – Form 8962 – Part 4 – Shared policy
allocation

ACA – Form 8962 – Part 5 – Alternative
Calculation for year of marriage

Rest of ACA in Scope

Simplified home office deduction still out
of scope
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Indexing – Standard Deduction
Std Ded
+ if blind
+ if ≥65
Single
$ 6,300
$ 1,550
$ 1,550
MFJ
12,600
MFS
1,250 ea
1,250 ea
6,300
1,250*
1,250*
HH
9,250
1,550
1,550
QW
12,600
1,250
1,250
*also applies to dependent spouse if claimed
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Indexing – Itemized Deductions
● Subject to phase-out if AGI over

$258,250 Single

$309,990 MFJ or QW

$154,950 MFS

$284,050 HH
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Indexing – Exemption Deduction
● Exemptions increase to $4,000
● Subject to phase-out if AGI over

$258,250 Single

$309,900 MFJ or QW

$154,950 MFS

$284,050 HH
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Indexing – Standard Mileage
2015 Rates:

57.5¢ per mile – business miles

23¢ per mile – medical miles

14¢ per mile – charitable miles
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Indexing –
EIC Maximum Credits and Income
● $6,242 – three or more qualifying children
● $5,548 – two qualifying children
● $3,359 – one qualifying child
● $503 – no qualifying child
● $47,747 ($53,267 MFJ) 3 qualifying children
● $44,454 ($49,974 MFJ) 2 qualifying children
● $39,131 ($44,651 MFJ) 1 qualifying child
● $14,820 ($20,330 MFJ) no qualifying child
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Indexing – Deductible Long-Term
Care Premium Limits
● Qualified long-term care premiums
includible as medical expense on Sch A

$380 – Age 40 or under

$710 – Age 41 to 50

$1,430 – Age 51 to 60

$3,800 – Age 61 to 70

$4,750 – Age 71 and over
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Other Indexing
● HSA Limits

$3,350 self-only coverage

$6,650 family coverage

Both + $1,000 if age 55 or older
● Retirement savings credit income limits

Max $30,500 S and MFS, $61,000 MFJ,
$45,750 HH
● Max investment income for EIC $3,400
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Other Indexing
● IRA contributions

Max $5,500 ($6,500 if age 50 or older)

Modified AGI limits when covered by
employer plan
● Lifetime learning credit income limits
● Excludible savings bond interest – out of
scope
● Foreign earned income/housing exclusion
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Other Indexing or Changes
● ACA

Federal poverty lines

Shared responsibility payment amounts

Applicable percentages (taxpayer
contribution, affordability)

Note TaxWise revised the ACA Wkt
● Child tax credit not refundable if
excluding foreign income
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Extended Provisions – Permanently
Extended
● Qualified Charitable Distribution – QCD
(tax-free distribution from IRAs to public
charities for individuals age 70½ or older)
● Adjustment for educator classroom
expenses up to $250 – indexed starting in
2016
● Deduction for state and local general sales
taxes
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Extended Provisions – Extended
through 2016
● COD exclusion for principal residence –
no longer separate course (see Pub
4491)
● Premiums for mortgage insurance
deductible as interest for qualified
residence
● Nonbusiness energy property credit
● Adjustment for qualified tuition and fees
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Due Dates
● 2015 tax returns are due

Monday, April 18, 2016*
● 2016 estimated payments due

April 18, 2016*

June 15, 2016

September 15, 2016

January 17, 2017
* April 19 for Maine or Massachusetts
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Social Security Number Printouts
● SSA does not provide Social Security
number printouts
● Taxpayers who do not have their Social
Security card can request a replacement
Social Security card (estimated to take
two weeks)
● SSA-1099 will contain only last 4 digits of
SSN
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Social Security Number Printouts
● Alternatively,

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For TY2015, if taxpayer has picture ID
and all income documents contain same
name and number, carry forward data
can be used as proof of name and SSN
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Tax Law Changes 2015
Comments?
Questions?
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