All Individual 2017 Rates | Smith, Kunz & Associates

All Individual 2017 Rates

January 2, 2017

Individual Income Tax Planning

Adoption credit

Adoption credit 2016 2017
Maximum credit $13,460 $13,570
Phaseout threshold amount $201,920 $203,540
Completed phaseout amount after $241,920 $243,540

Alternative Minimum Tax (AMT)

Maximum AMT exemption amount 2016 2017
Married filing jointly or surviving spouse $83,800 $84,500
Single or head of household $53,900 $54,300
Married filing separately $41,900 $42,250
AMT income exemption phaseout threshold 2016 2017
Married filing jointly or surviving spouse $159,700 $160,900
Single or head of household $119,700 $120,700
Married filing separately $79,850 $80,450
AMT tax rate (26% rate applies to AMTI at or below amount; 28% applies to AMTI above amount) 2016 2017
All taxpayers except married filing separately $186,300 $187,800
Married filing separately $93,150 $93,900

Charitable deductions

Use of auto 2016 2017
Deductible standard mileage rate $0.14 $0.14
Charitable fundraising "insubstantial benefit" limitation 2016 2017
Low-cost article (re: unrelated business income) $10.60 $10.70
Gifts to donor in return for contribution 2016 2017
Token gift maximum cost1 $10.60 $10.70
Minimum contribution amount1 $53.00 $53.50
2% threshold amount2 $106 $107

1 Contribution is fully deductible if minimum contribution amount is met and cost of token gift does not exceed maximum

2 Charitable contribution is fully deductible if the benefit received by the donor doesn't exceed the lesser of the threshold amount or 2% of the amount of the contribution

Child tax credit

Amount of credit 2016 2017
Maximum credit per qualifying child $1,000 $1,000
Phaseout -- credit reduced by $50 for each $1,000 or fraction thereof of MAGI over: 2016 2017
Single $75,000 $75,000
Married Filing Jointly $110,000 $110,000
Married Filing Separately $55,000 $55,000
Refundability -- up to specified percentage of earned income in excess of specified amount 2016 2017
Percentage 15% 15%
Amount $3,000 $3,000

Classroom expenses of elementary and secondary school teachers

Classroom expense deduction 2016 2017
Maximum above-the-line deduction $250 $250

Earned income tax credit (EITC)

Investment income limit 2016 2017
Excessive investment income limit ("disqualified income limit") $3,400 $3,450
Maximum amount of EITC per number of children 2016 2017
0 children $506 $510
1 child $3,373 $3,400
2 children $5,572 $5,616
3 or more children $6,269 $6,318
Maximum amount of earned income on which EITC is based (earned income over this amount but under the threshold phaseout amount will not change the amount of the credit received) 2016 2017
0 children $6,610 $6,670
1 child $9,920 $10,000
2 or more children $13,930 $14,040
Threshold phaseout amount for joint filers per number of children 2016 2017
0 children $13,820 $13,930
1 child $23,740 $23,930
2 children $23,740 $23,930
3 or more children $23,740 $23,930
Threshold phaseout amount for other filers per number of children 2016 2017
0 children $8,270 $8,340
1 child $18,190 $18,340
2 children $18,190 $18,340
3 or more children $18,190 $18,340
Completed phaseout amount for joint filers per number of children 2016 2017
0 children $20,430 $20,600
1 child $44,846 $45,207
2 children $50,198 $50,597
3 or more children $53,505 $53,930
Completed phaseout amount for other filers per number of children 2016 2017
0 children $14,880 $15,010
1 child $39,296 $39,617
2 children $44,648 $45,007
3 or more children $47,955 $48,340

Expatriation

Covered expatriate 2016 2017
An individual with "average annual net income tax" of more than this amount for the five taxable years ending before his or her loss of citizenship is a covered expatriate for the purposes of IRC §877A(g)(1) $161,000 $162,000
IRC §877A(3) exclusion amount $693,000 $699,000

Foreign earned income

Amount excluded from income 2016 2017
Exclusion amount $101,300 $102,100

Itemized deductions

Phaseout threshold 2016 2017
Married filing jointly $311,300 $313,800
Head of household $285,350 $287,650
Unmarried $259,400 $261,500
Married filing separately $155,650 $156,900

Kiddie tax

Unearned income limit 2016 2017
Amount exempt from tax $1,050 $1,050
Additional amount taxed at child's rate $1,050 $1,050
Unearned income over this amount taxed at parent's rate $2,100 $2,100
Parent's election 2016 2017
Election to include child's income on parent's return -- child's gross income requirement $1,050 - $10,500 $1,050 - $10,500
AMT 2016 2017
AMT exemption for child subject to kiddie tax Lesser of $7,400 + child's earned income or $53,900 Lesser of $7,500 + child's earned income or $54,300

Medicare tax (additional payroll tax and unearned income contribution tax)

Payroll tax 2016 2017
Additional Medicare payroll tax (and self-employment tax) percentage rate 0.90% 0.90%
Applies to wages/self-employment income exceeding 2016 2017
Individuals $200,000 $200,000
Married filing jointly $250,000 $250,000
Married filing separately $125,000 $125,000
Tax on unearned income 2016 2017
Unearned income Medicare contribution tax rate 3.80% 3.80%
Applies to lesser of (a) net investment income or (b) modified adjusted gross income exceeding 2016 2017
Individuals $200,000 $200,000
Married filing jointly $250,000 $250,000
Married filing separately $125,000 $125,000

Nanny tax

Compensation threshold 2016 2017
Domestic employee coverage threshold $2,000 $2,000

Personal exemption amount

Amount 2016 2017
Personal exemption amount $4,050 $4,050
Married filing jointly 2016 2017
Phaseout threshold amount $311,300 $313,800
Completed phaseout amount after $433,800 $436,300
Head of household 2016 2017
Phaseout threshold amount $285,350 $287,650
Completed phaseout amount after $407,850 $410,150
Unmarried 2016 2017
Phaseout threshold amount $259,400 $261,500
Completed phaseout amount after $381,900 $384,000
Married filing separately 2016 2017
Phaseout threshold amount $155,650 $156,900
Completed phaseout amount after $216,900 $218,150

"Saver's Credit"

Elective Deferrals and IRA Contributions by Certain Individuals 2016 2017
Maximum credit amount $1,000 $1,000
Applicable percentage of 50% applies to AGI 2016 2017
Joint Return $0 - $37,000 $0 - $37,000
Head of Household $0 - $27,750 $0 - $27,750
Other $0 - $18,500 $0 - $18,500
Applicable percentage of 20% applies to AGI 2016 2017
Joint Return $37,001 - $40,000 $37,001 - $40,000
Head of Household $27,751 - $30,000 $27,751 - $30,000
Other $18,501 - $20,000 $18,501 - $20,000
Applicable percentage of 10% applies to AGI 2016 2017
Joint Return $40,001 - $61,500 $40,001 - $62,000
Head of Household $30,001 - $46,125 $30,001 - $46,500
Other $20,001 - $30,750 $20,001 - $31,000
Applicable percentage of 0% applies to AGI 2016 2017
Joint Return Over $61,500 Over $62,000
Head of Household Over $46,125 Over $46,500
Other Over $30,750 Over $31,000

Standard deductions

Amounts 2016 2017
Married filing jointly or surviving spouse $12,600 $12,700
Head of household $9,300 $9,350
Unmarried $6,300 $6,350
Married filing separately $6,300 $6,350
Dependent Greater of $1,050 or $350 + earned income Greater of $1,050 or $350 + earned income
Additional deduction for aged or blind (single or head of household) $1,550 $1,550
Additional deduction for aged or blind (all other filing statuses) $1,250 $1,250

Standard mileage rates

Applicable rates 2016 2017
Use of auto for business purposes (cents per mile) $0.54 $0.535
Use of auto for medical purposes (cents per mile) $0.19 $0.17
Use of auto for moving purposes (cents per mile) $0.19 $0.17