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New Tax Laws!

February 03, 2020
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We are geared up for tax season and have a few things to share with you.  The Setting Every Community Up for Retirement Enhancement Act (Secure Act) was enacted on December 20, 2019.  Key features include; beginning this year retirement minimum distributions start at age 72 not 70 ½,  the age limit on contributions to an IRA have been eliminated, and you can use up to $5,000 of your retirement money for birth or adoption of a child without penalty.

There are also new tax credits to employers for establishing a retirement plan, and putting auto-enrollment into place.

There are also a few changes in the law that are retroactive.  These include tuition credits, mortgage insurance deduction, and discharge of debt exclusion on primary residence.   These items may or may not make a difference on your 2018 tax return.  Ask us and we will figure it out for you!