What’s New

IRA to charity exclusion: The IRA qualified charitable distribution (QCD) provision has been extended. If you are age 70 ½ or older, this exclusion allows you to make direct distributions from your traditional IRA to a charity without recognizing the distribution as income. (You cannot take a charitable deduction.)

Direct deposits of refund to a myRA® account. You now can have your re-fund directly deposited to a new retire-ment savings program called myRA®. This is a starter retirement account offered by the Department of the Treasury. See the instructions for lines 76a through 76d. For more information and to open a myRA account online, visit www.myRA.gov.

Alternative fuel vehicle refueling credit. The credit for alternative fuel vehicle refueling property has expired. You can’t claim this credit for alternative fuel vehicle refueling property placed in service after 2014. However, a partner in a fiscal year partnership or shareholder of a fiscal year S corporation may receive an alter-native fuel vehicle refueling property credit that must be reported on a 2015 return.

Alternative motor vehicle credit. The alter-native motor vehicle credit has expired for vehicles purchased after 2014. However, if you purchased the vehicle before 2015, but placed it in service during 2015, you may still be able to claim the credit for 2015. Don’t report vehicles purchased after 2014 on Form 8910 unless the credit is extended.

 

Residential energy credit. The non-business energy property credit has expired. You can’t claim this credit for non-business energy property placed in service after 2014. You may, however, still be able to claim the residential energy efficient property credit.

 

Plugin electric drive motor vehicle credit. The credit for qualified two- or three-wheeled plug-in electric vehicles acquired after 2013 has expired.

Tax implication of the Affordable Care Act (ACA), also known as “Obamacare”:

Changes for 2015 include the addition of the Health Insurance Premium Tax Credit (see below) and the Individual Shared Responsibility Provision. The majority of taxpayers will see minimal impact on their 2015 federal taxes. If you don’t have insurance, remember you may qualify for the advanced premium tax credit or a government-sponsored plan such as Medicare or Medicaid. Marketplace open enrollment for 2016 is November 15, 2015 to February 15, 2016. To apply, go to www.healthcare.gov.

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