2017 Estate, Gift and Generation Skipping Transfer (GST) Taxes:
| 2017 Estate, Gift and Generation Skipping Transfer (GST) Taxes | |||
| Estate | Gift | GST | |
| Exemption | $5,490,000 | $5,490,000 | $5,490,000 |
| Highest Tax Rate | 40% | 40% | 40% |
| Profitability Exemption | Yes | Yes | No |
| Special Use Valuation (§2032A) | $1,120,000 | N/A | N/A |
| §6166 Estate Tax Deferral for Closely Held Business (2% portion) | $1,490,000 | N/A | N/A |
| Annual Exclusion | N/A | $14,000 | $14,000 |
| Annual Exclusion for Gifts to Non-Citizen Spouse | N/A | $149,000 | N/A |
| Notice of Large Gifts Received from Foreign Persons | N/A | $15,797 | N/A |
Qualified Plan and IRA Contribution and Cast Up Limits and Phase Outs (2016 and 2017):
| Qualified Plan and IRA Contribution Limits, Catch Up Limits and Phase Outs (2015 and 2016) | |||||||
| Contribution Limit | Catch Up Limit if Over Age 50 | Modified AGI Phase Outs | |||||
| 2016 | 2017 | 2016 | 2017 | 2016 | 2017 | ||
| 401(k) | $18,000 | $18,000 | $6,000 | $6,000 | |||
| 403(b) | $18,000 | $18,000 | $6,000 | $6,000 | |||
| Traditional IRA | $5,500 | $5,500 | $1,000 | $1,000 | Deduction phase out when taxpayer or spouse actively participates in a retirement plan
No phase out if neither taxpayer nor spouse is active participant |
Single: $61,000-$71,000 MFJ for active participant: $98,000-$118,000MFJ for non-active participant: $184,000-$194,000 |
Single: $62,000-$72,000 MFJ for active participant: $99,000-$119,000MFJ for non-active participant: $186,000-$196,000 |
| Roth IRA | $5,500 | $5,500 | $1,000 | $1,000 | Contribution phase out | Single: $117,000-$132,000MFJ: $184,000-$194,000 |
Single: $118,000-$133,000MFJ: $186,000-$196,000 |
| SIMPLE Plan | $12,500 | $12,500 | $3,000 | $3,000 | |||
| Eligible 457 Plan | $18,000 | $18,000 | Special catch-up rules apply to those within 3 years of retirement | ||||
Other Qualified Plan Numbers (2016 and 2017):
| Other Qualified Plan Numbers (2016 and 2017) | ||
| 2016 | 2017 | |
| Recognizable Pay in Retirement Plan | $265,000 | $270,000 |
| Individual Maximum in Defined Benefit Plan | $210,000 | $215,000 |
| Defined Contribution Plan Limit | $53,000 | $54,000 |
| Highly Compensated Employee | $120,000 | $120,000 |
| Key Employee in Top Heavy Plans | $170,000 | $175,000 |
2017 Income Tax Rates:
| 2017 Income Tax Rates | |||||||
| Taxable Income | Ordinary Income | Long Term Capital Gains and Qualified Dividends | Investment Income | Wages and Self- Employment Income (FICA and SECA) | |||
| Single | Married Filing Jointly | Trusts and Estates | HI / Medicare Tax | Social Security Tax | |||
| Above $0 | Above $0 | Trusts and Estates have no 10% bracket | 10% | 0% | 0% | 2.9% Employer pays 1.45% of this under FICA |
12.4% on first $127,200 (indexed) Employer pays 6.2% of this under FICA |
| Above $9,325 | Above $18,650 | Above $0 | 15% | ||||
| Above $37,950 | Above $75,900 | Above $2,550 | 25% | 15% | |||
| Above $91,900 | Above $153,100 | Above $6,000 | 28% | ||||
| Above $191,650 | Above $233,350 | Above $9,150 (Trusts and estates have no 35% bracket) | 33% | ||||
| Above $200,000 (AGI) | Above $250,000 (AGI) | 3.8% | 3.8% Employer pays 1.45% of this under FICA |
||||
| Above $416,700 | Above $416,700 | 35% | |||||
| Above $418,400 | Above $470,700 | Above $12,500 | 39.6% | 20% | |||
Long-Term Care– Eligible Premium Amounts and Per Diem Benefit Limitation (2016 and 2017):
| LTC – Eligible Premium Accounts and Per Diem Benefit Limitation (2016 and 2017) | ||
| 2016 | 2017 | |
| Age 40 or Less | $390 | $410 |
| Age 41 to 50 | $730 | $770 |
| Age 51 to 60 | $1,460 | $1,530 |
| Age 61 to 70 | $3,900 | $4,090 |
| Age 71 and Over | $4,870 | $5,110 |
| Per Diem Benefit Limitation | $340 | $360 |
Other Income Tax Numbers (2016 and 2017):
| Other Income Tax Numbers (2016 and 2017) | |||
| 2016 | 2017 | ||
| Social Security Wage Base | $118,500 | $127,200 | |
| Kiddie Tax Thresholds | (child’s unearned income not taxed up to first threshold; taxed at child’s rate up to second threshold; taxed at parent’s rate above that) | $1,050 $2,100 |
$1,050 $2,100 |
| 5 Year Average Income Tax Threshold to Avoid Expatriation Tax | $161,000 | $162,000 | |
| Expatriation Tax (mark to market) Exemption | $693,000 | $699,000 | |
| Foreign Earned Income Exclusions | $101,300 | $102,100 | |
NOTE: This publication is not intended as legal or tax advice. It must not be used as a basis for legal or tax advice, and is not intended to be used and cannot be used to avoid any penalties that may be imposed on a tax payer. Taxpayers should seek advice regarding their particular circumstances from an independent tax adviser.
You can find 2016 Tax Numbers HERE.