Now that the dust has settled after President Obama’s re-election, what can we expect on the tax front for 2013? In particular, will a slew of tax increases scheduled to take effect this year be repealed, modified or allowed to stand?
Strategy: Plan for the worst and hope for the best. Until new legislation is enacted, if ever, tax planning should reflect the current laws of the land. But try to remain flexible so you can react quickly to any changes.
Keeping that in mind, here’s a bird’s-eye view of what you might see in 2013.
Individual taxes: Tax rates are being ratcheted up in 2013. Although the president has proposed extensions of the lower tax bracket rates for one year, he would allow the two higher tax rates of 36% and 39.6% for joint filers earning more than $250,000 per year and single filers earning more than $200,000 per year to take effect. Furthermore, investors will be slammed by an increase in the maxi...(register to read more)