2013 Is Here and So Are Higher Taxes

The IRS has recently posted cost of living adjustments and limitations for Pension Plans in 2013 as well as a listing of nearly thirty 2013 tax benefits that are being adjusted for inflation.

Pension plan contributions and income limits that increase are increasing between one and three percent and include contributions to IRA, 401(k), 403(b) and other plans. Some aspects are remaining unchanged for the 2013 tax year.

2013 is here, and so are higher taxes! Several tax benefit adjustments will have impacts on Families, such as the Low Income Housing Credit and two dealing with the “Kiddie Tax” as well as the Gift Tax, Eligible Long Term Care Premiums and Medical Savings Accounts.

There are two adjustments for Expatriates as well as an increase in the exclusion of income for Americans Living in Foreign Countries.

Adjustments are also made in regard to bonds and other concerns in the world of Finance including Loan Limits on Agricultural Bonds, Private Activity Bonds Volume Cap and Safe Harbor Rules for Broker Commissions.

Various Businesses will be impacted by a handful of adjustments for specific and general industries. These adjustments apply to the Passenger Air Transportation Excise Tax, Charitable Fund Raising Campaigns and other items.

Bow Hunters and sellers of hunting equipment need to take note of the increase in the tax on arrow shafts.

There are many other adjustments and provisions that can all be seen at irs.gov by searching for Retirement Plan Changes for 2013, and IRS Bulletin 2012 45.