Category: Credits & Deductions
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The IRS lets a widow or widower who sells the home within two years of the spouse’s death, before remarrying, keep the larger married-couple home-sale tax exclusion
Surviving spouses who sell the family home within two years of the death, and have not remarried, can keep the larger home-sale tax exclusion that married couples get. That means up to $500,000 of profit can be excluded from tax instead of the usual $250,000 for a single owner. The rule comes from the tax…
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The White House says about 1.3 million Arizona seniors benefit from the new $6,000 senior tax deduction
A new White House release puts a number on how many older Arizonans are helped by the $6,000 senior tax deduction: about 1.3 million. The figure comes from an October 14 release tied to President Trump’s return to Arizona. The deduction is real and available for the 2025 through 2028 tax years, but the count…
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Treasury’s proposed rules would bar adults who lose Medicaid for missing its work requirement from Obamacare premium credits, with comments due November 30
Treasury and the IRS have proposed a rule that would cut off Affordable Care Act premium tax credits for adults who lose Medicaid because they did not meet the new Medicaid work requirement. Under the proposal, those months would not count as months in which a person could get the credit. Written comments on the…
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Trump’s promise of no tax on Social Security became a $6,000 deduction for people 65 and older, and the IRS says it starts shrinking once income tops $75,000 for single filers
The 2025 tax law that the White House calls “no tax on Social Security” does not exempt Social Security benefits from tax. What it created is an extra $6,000 deduction for each person 65 or older, and the IRS says that deduction starts shrinking once income tops $75,000 for single filers. For married couples filing…
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Treasury plans to pay the first Saver’s Match deposits in 2028 on retirement contributions made in 2027
A worker who puts money into a 401(k) or an IRA in 2027 and qualifies for the new Saver’s Match will see the matching deposit in 2028, not in 2027. Treasury and the IRS say the first payments begin in 2028 and are based on contributions made in the 2027 tax year. The delay comes…
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Over 60 million children were enrolled in Trump Accounts automatically, but a parent must claim an eligible child’s account to get Treasury’s $1,000 seed deposit
Treasury announced on October 1 that automatic enrollment for Trump Accounts is complete. Treasury Secretary Scott Bessent said in the department’s release that “over 60 million more eligible children now have an account ready to be claimed.” The accounts are open, but a parent or guardian has to claim one before it can be managed,…
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ACA enrollees earning more than $63,840 as a single person, or $132,000 or more for a family of four, get no premium help in 2027, the Commonwealth Fund says
ACA marketplace enrollees with incomes of more than $63,840 as a single person, or $132,000 or more for a family of four, get no premium help in 2027, the Commonwealth Fund says. The figures come from an October 8 post by Georgetown University researchers Stacey Pogue, Abigail Knapp and Justin Giovannelli. Anyone over those lines…
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The Trump administration gives 189,000 marketplace enrollees flagged for duplicate Medicaid, CHIP or Medicare coverage, or as deceased, 30 days to dispute
The Trump administration says it identified 189,000 people with subsidized Affordable Care Act marketplace coverage in 2026 who also had duplicate Medicare, Medicaid or CHIP coverage, or who were deceased, and each of them gets 30 days to dispute the finding. The Centers for Medicare & Medicaid Services announced the count on October 14. CMS…
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Treasury published temporary rules, effective December 1, for a scholarship donation credit on contributions made in 2027 and later
The Treasury Department and the Internal Revenue Service have issued temporary regulations for a new federal tax credit for donations to scholarship groups, and the rules take effect December 1. The credit itself is for contributions made in 2027 and later tax years. The regulations, TD 10057, were published October 2 in the Federal Register…
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The 2025 tax law gives people 65 and older a $6,000 deduction through 2028, and a married couple must file jointly to take it
A new federal tax break for older Americans comes with a filing-status rule that can shut out married couples. The 2025 tax law lets people age 65 and older take an extra $6,000 deduction for tax years 2025 through 2028, but a married taxpayer has to file a joint return to claim it. Couples who…