What's New in 2011

by Stephanie
(California)

Every year, changes to the tax code and IRS inflation adjustments give taxpayers new numbers to use in their tax planning. Here are the numbers you'll need in 2011 for filing your 2010 tax return.

Standard Mileage Rate for Business Driving is 51 cents a mile.

Mileage Rate for medical and moving expense deductions is 19 cents a mile.

Mileage Rate for charitable driving is 14 cents a mile.

Adoption Credit is $13,360.00.

Maximum Wages subject to social security tax is $106,800.

Social Security earnings limit under full retirement age is $14,160.00.

Social Security earnings limit year full retirement age reached is $37,680.00.

Social Security earnings limit full retirment age is No Limit.

Top Estate tax rate is 35%.

Amount exempt from estate tax is $5 million.

Annual gift tax exclusion (per donee) is $13,000.

Maximum retirement plan contributions IRA for thos under age 50 is $5,000.00.

Maximum retirement plan contributions IRA for those 50 and over is $6,000.00.

Maximum retirement plan contributions SIMPLE plan for those under age 50 is $11,500.00.

Maximum retirement plan contributions SIMPLE plan for those 50 and over is $14,000.00.

Maximum retirement plan contributions 401(k) plan for those under age 50 is $16,500.00.

Maximum retirement plan contributions 401(k) plan for tthose 50 and over is $22,000.00.

"Kiddie tax" threshold is $1,900.00.

"Nanny tax" threshold is $1,700.00.

Personal Exemption is $3,700.00.

Standard Deduction for Single is $5,800.00.

Standard Deduction for Joint returns and Surviving spouces is $11,600.00.

Standard Deduction for Married Filing Separately is $5,800.00.

Standard Deduction for Head of Household is $8,500.00.

Standard Deduction for Additional for elderly or blind (married) is $1,150.00.

Standard Deduction for Additional for elderly or blind (single) is $1,450.00.

* For deaths occuring in 2010, estates have a choice between applying the retroactively reinstated estate tax with a step-up in basis to fair market value for estate property or not estate tax with a modified carryover of the decedent's basis.