Income Tax Fundamentals and Calculations - Personal and Dependency Exemptions

Personal and Dependency Exemptions
On your 2014 return, a taxpayer may claim a $3,950 exemption for each of the following (provided you are not subject to phase out):



  • Yourself If you are not being claimed as a dependent of another taxpayer,
  • Your Spouse Joint return is filed
  • Your Dependents Qualifying children and qualifying relatives
Phase Out of Personal Exemption:
Beginning January 1, 2014, higher income taxpayers will be subject to the return of the personal exemption phase-out.  Total amount of exemptions that can be claimed will be reduced by 2% for each $2,500 by which the taxpayer’s AGI exceeds the $254,020/$305,050 threshold.

 
Taxable Income

You May Also Like

Related Articles
  1. Trading Strategies

    The Pros & Cons Of Being A Trader On ...

  2. Trading Strategies

    What To Do With Stocks That Hit All-Time ...

  3. Trading Strategies

    Understanding The Price Vs. Time Equation

  4. Chart Advisor

    3 Commodity Stocks Poised For A Move ...

  5. Personal Finance

    How To Calculate Beta Of A Private Company

Trading Center