Year End Tax Planning Class Nov. 27 at SCC
A new one-day class titled "Year-End Estate Tax and Income Tax Planning in Uncertain Times" will be offered Nov. 27 at Sandhills Community College through the Division of Continuing Education.
Instructor Noelle Granville and guest speaker, attorney Heath Dedmond, will lecture on the upcoming changes to the tax code.
"The Patient Protection and Affordable Care Act (health care law) will add an additional 3.8 percent Medicare tax beginning in 2013," Granville said. "The tax applies to net investment income or the excess of a taxpayer's AGI above certain thresholds ($200,000 for individuals and $250,000 for joint filers), whichever is less. However, for estates and trusts, the threshold level is only $11,650 of net investment income before the 3.8 percent tax applies. Investors should be reviewing their investment strategies to help minimize the coming tax bite."
As for the coming changes in estate tax planning, without some action from Congress, tax rates will increase as follows:
n A 57 percent increase in the highest estate, gift and generation-skipping tax rate (back to the top rate of 55 percent from 35 percent)
n An 80 percent decrease in the estate and lifetime gift tax exemptions (to $1 million from $5.12 million)
n A 73 percent decrease in the generation-skipping tax exemption (to $1.36 million from $5.12 million)
"With the potential for legislation limiting some current advantageous planning strategies, implementation before year-end allows you to take advantage of what may be your last chance to utilize these strategies," Dedmond said. >"These opportunities will not apply to everyone, but we recommend preparing for the changing tax environment by discussing your situation with your attorney, and other advisers."
The class will be held from 2 to 5 p.m. in room 102 in Van Dusen Hall. To register for this free class, call (910) 695-3980.
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