IRS Releases 2014 Tax Brackets and Related Items
Nov. 7, 2013
The IRS recently released 2014 tax brackets and other related items that are indexed annually for inflation. Highlights of the inflation adjustments include:
- The top tax bracket of 39.6 percent applies to income in excess of $457,600 for married taxpayers in 2014, up from $450,000 for 2013.
- The top tax bracket of 39.6 percent applies to income in excess of $406,750 for single taxpayers in 2014, up from $400,000 for 2013.
- The standard deduction for married taxpayers filing jointly increases from $12,200 to $12,400.
- The standard deduction for single taxpayers increases from $6,100 to $6,200.
- The estate and gift tax exclusion for individuals who die during 2014 increases from $5.25 million to $5.34 million.
- Deferral limits for 401(k) plans remain unchanged at $17,500.
A complete listing of all 2014 inflation-indexed items can be found in Revenue Procedure 2013-35.
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