We are well into March which means tax filing time is upon us. Now would be a good time to securely send your tax information to your tax preparer (if you haven’t already). It is also an especially high time to be alert and vigilant to scams and fraud regarding your personal information. Fraudsters are looking to take advantage of mailings and emails from financial institutions regarding tax info. You might check with the IRS website and/or your financial institutions websites for suggestions to make your info safer.
With every tax season it’s a good time to be contacting your tax advisors about changes you may need or want to take regarding tax law changes coming up. For example:
- Each year there are inflation adjustments to tax brackets, standard deductions, annual gifting limits, etc.
- The annual exclusion for non-charitable gifting for 2024 is $18,000 per donee and per donor. That’s up from $17,000 last year.
- The standard income tax deduction for a married couple is now $27,700 – you need to have itemized deductions in excess of that to itemize on your return.
- One thought, for example, is to bunch several years of charitable deductions into one year in order to exceed the standard deduction and get some additional value for your donations.
So, as you take the time to prepare your taxes, explore some ideas and thoughts with your advisors for suggestions.
This is not tax advice. As always, consult with your tax and legal advisors.
About the author
Greg Owens, JD, CFP®
VP / Senior Financial Planner
Greg is a Vice President and Senior Financial Planner for Wealth Management & Advisory Services at Washington Trust Bank. He is dedicated solely to providing financial planning strategies to high‐net‐worth individuals and families. Greg strongly believes that each client engagement with Washington Trust Bank should start with solid financial analysis in order for clients to meet their goals, considering all estate, retirement, and income tax issues.
Greg brings nearly 30 years of planning experience to his clients. He has authored several articles for various publications and nonprofit organizations on estate and financial planning subjects.
As part of your wealth management team, Greg partners with your existing legal and tax advisors to ensure that they are utilizing the best wealth planning strategies for your unique circumstances and goals.