New laws

elath1169 — Tue, 24 Feb 2026 06:39:38 GMT

In a nutshell what are the primary items to watch out for in the coming tax year for the middle class ( less than 90,000 per year)

Re: New laws

conniem123 — Wed, 28 Jun 2023 22:56:49 GMT

Hi elath1169,

Not a lot of changes for tax year 2023.

You will see an increase in the standard deduction, if you do not itemize;

Standard deduction increases as follows:

Filing status of Married Filing Jointly increases by $1,800 to $27,700
Filing status of Head of Household increases by $1,400 to $20,800
Filing statuses of Single and Married Filing Separately increases by $900 to $13,850

Also, if you have dependents the Child Tax Credit (CTC) remains at 2022 thresholds:

Nonrefundable credit
$2,000 per child who meets the following requirements:

Child is younger than 17 at the end of the year
Child is son, daughter, stepchild, foster child,brother, sister, stepbrother, stepsister, grandchild, niece, or nephew
Child can be claimed as a dependent
Child doesn’t provide more than half of their support
Child is U.S. citizen, national, or resident alien
Child doesn't file joint tax return
Child must have social security number
Child must have lived with you for more than half of the tax year

Additional Child Tax Credit (ACTC) encompasses the following:

Allows taxpayer to receive up to $1,500 of the $2,000 child tax credit as a refund
Families must have minimum of $2,500 of earned income to claim ACTC

Phase out for both credits is based on modified adjusted gross income (MAGI) as follows:

Filing status of Married Filing Jointly phase out begins at $400,000
All other filing statuses phase out begins at $200,000

Phase out is calculated as $50 reduction in the credit for each $1,000 (or part of $1,000) that MAGI exceeds the phase out amount.

Also there have been changes to the energy efficient home improvement credit;

Maximum value of $1,200 per year for qualified energy efficiency improvements, such as:

Exterior windows
Doors and skylights
Building envelope components

Second, there is a different $2,000 per limit for the equipment cost and installation of new energy-intensive appliances, such as:

Heat pumps
Heat pump water heaters
Biomass stoves and boilers

Third, as part of the $1,200 credit per year, it can cover up to $150 per year for the cost of performing a home energy audit to identify areas of needing energy efficiency improvements.

I hope you find this helpful!

Connie

Re: New laws

rschule1 — Wed, 28 Jun 2023 22:58:47 GMT

Hi There:

Here's a real good article by Kiplinger which outlines the major changes to 2023, the biggest changes being changes to Income Tax Rates , Capital Gain Rates and energy credits.

2023 Tax law changes

topic New laws in Get your taxes done using TurboTax

New laws

Re: New laws

Re: New laws