What is the Economic Growth and Tax Relief Reconciliation Act of 2001 all about?
A. The Act is the most significant tax cut since 1981, at a 10-year budget cost of $1.35 trillion. The entire act sunsets (reverts back to former law) in year 2011. The act focuses on individuals, not businesses. The key benefits include: -Individual rate reduction -Marriage penalty relief -Expanded credits -Expanded retirement benefits -Repeal of estate taxes.
A. The Act is the most significant tax cut since 1981, at a 10-year budget cost of $1.35 trillion. The entire act sunsets (reverts back to former law) in year 2011. The act focuses on individuals, not businesses. The key benefits include:-Individual rate reduction-Marriage penalty relief-Expanded credits-Expanded retirement benefits-Repeal of estate taxes. Q. How long should I keep my tax records? A. We at Bloch, Rothman and Assoc. Ltd. recommend keeping your tax records for four years after the return due date. However, documents in support of the purchase of a depreciable asset should be kept until the asset is disposed of and documents in support of loans and mortgages should be kept until the loan or mortgage is liquidated. Q. Can I save taxes by filing a separate return? A. It depends. For example, if both parties’ income is approximately the same, but one has extraordinarily large itemized deductions subject to income limitations (medical expenses, casualty losses, miscellaneous
Related Questions
- How does the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) affect my Traditional IRA contribution?
- How does the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) affect my IRA contribution?
- What is the Economic Growth and Tax Relief Reconciliation Act of 2001 all about?
