MELS, the DC 37 Municipal Employees Legal Services, held a tax workshop in January providing advice for members and retirees about significant changes in the tax law. These changes will impact those filing their 2019 tax returns, due on April 15.
Here are the highlights:
- The standard deduction has increased. For those filing Single, and Married Filing Separately, the deduction is $12,200, while for couples filing Married, Jointly, the deduction is $24,400, and for those filing as Head of Household, the deduction is $18,350.
- For divorces after Dec. 31, 2018, alimony received is not taxable, nor is it deductible by the person paying.
- The child tax credit for dependent children under 17 has been increased from $1,000 to $2,000 per child.
- There is a new form, 1040 SR, for seniors over 65.
- The penalty for not having health insurance has been abolished.
- Also new for 2018 and 2019, the maximum itemized deduction for state and local sales, income and real estate taxes is $10,000.
For information regarding free tax preparation sites, please call 311.
MELS is offering another workshop on Wed, Feb. 26 at 5:30 p.m. at 420 West 45th St. in Midtown Manhattan. For information on location and to register, call 212-815-1111.