Hans Kasper, MS-CPA, PS

Quick Tax Facts for 2002
 

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Standard Deductions

Married, filing joint return $7,850
Surviving spouse $7,850
Head of Household $6,900
Unmarried (not S.S. or H.H.) $4,700
Married, filing separate return $3,925
Dependent standard deduction (minimum) $750
Additional amount for blindness or age 65 or older $900
Additional amount for blindness or age 65 or older if unmarried and not S.S. $1,150

Exemptions

Personal and dependent amount

$3,000

Estate amount

$600

Simple trust amount

$300

Complex trust amount

$100

Joint returns or surviving spouse phaseout starts at

$206,000

Head of household phaseout starts at

$171,650

Unmarried (not S.S. or H.H.) phaseout starts at

$137,300

Married, filing separate return phaseout starts at

$103,000


Itemized Deductions

Married, filing separate return
phaseout starts at

$68,650

All others phaseout starts at

$137,300

Casualty loss (AGI threshold)

10%

Medical deductions (AGI threshold)

7.5%

Itemized deductions (AGI deduction floor)

2%


Retirement/Pension Plans

Maximum annual benefit for defined benefit plan for retirement plan withdrawals

$160,000

Maximum annual contribution for defined contribution plan

$40,000

Highly compensated employee definition (in general)

$90,000

SEP de minimis compensation amount

$450

SEP nondiscrimination compensation amount $200,000
401(k) maximum compensation amount $200,000
IRA deduction limit (in general) $3,000
Catch-up contributions (extra amount for taxpayers over age 49):
IRAs and SIMPLEs
401(k), 403(b), and 457 plans


$500
$1,000
SIMPLE contribution limit $7,000
Saver's tax credit (maximum) $1,000
Employer's start-up tax credit (for establishing retirement plan) $500

Capital Gain Rates for Noncorporate Taxpayers

Adjusted net capital gain

For those in the 15% tax bracket (assets held more than 12 months)

For those in the 15% tax bracket (assets held more than 5 years)




20%


10%

For recaptured gain on real estate

25%

For most collectables

28%


Estate and Gift Taxes

Unified credit shelter amount

$1,000,000

Annual gift tax exclusion amount (per donee)

$11,000

State death tax threshold amount

$60,000

Estate/gift tax rate before phaseout

50%


Payroll Taxes

Social security (self-employed) combined rate (OASDI + Medicare)

15.3%

Social security (employer or employee) rate (OASDI + Medicare)

7.65%

Medicare rate

2.9%

FUTA rate

6.2%

FUTA wage base

$7,000

Nanny tax threshold

$1,300


Education Provisions

Hope scholarship credit

$1,500

Lifetime learning credit

$1,000

Education savings account credit

$2,000

Higher education deduction

$3,000

Student loan interest deduction

$2,500

Teacher's classroom expense deduction

$250


Transportation

Fringe benefit: employer provided passes and vehicles

$100/month

Fringe benefit: qualified parking limit

$185/month

Luxury auto excise tax base amount

$40,000

Business mileage rate

$0.365

Charitable mileage rate

$0.14

Medical and moving mileage rate

$0.13

Depreciation component of standard mileage rate

$0.15

High cost per diem travel rate (10/01/02 to 9/30/03) includes meals and entertainment

$204

Low cost per diem travel rate (10/01/02 to 9/30/03) includes meals and entertainment

$125

Long-Term Care Insurance

Premium limits:

 

Age 40 or less

$240

>40 and <51

$450

>50 and <61

$900

>60 and <71

$2,390

>70

$2,990

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This page was last updated on 12/11/2008

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