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Tax Prepretion

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Submitted By xxxxxy
Words 4268
Pages 18
What's New This Year
Publication 5101
All tax preparers, Quality Reviewers, instructors, and Site Coordinators must pass the Intake/Interview and Quality Review test.
Income
Virtual Currency
The IRS announced that convertible virtual currencies, such as Bitcoin, would be treated as property and not as currency, thus creating immediate tax consequences for those using Bitcoins to pay for goods and services. Taxpayers having transactions in virtual currencies are out of scope for the VITA/TCE programs.
Standard Deduction
The standard deduction for taxpayers who do not itemize deductions on Form 1040, Schedule A, has increased. The standard deduction amounts for 2015 are: * Married Filing Jointly or Qualifying Widow(er) - $12,600 (increase of $200) * Head of Household - $9,250 (increase of $150) * Single or Married Filing Separately - $6,300 (increase of $100)
Taxpayers who are 65 and Older or are Blind
For 2015, the additional standard deduction for taxpayers who are 65 and older or blind is: * Single or Head of Household - $1,550 (no change)
Married taxpayers - $1,250 (increase of $50)

Personal ExemptionsThe amount a taxpayer can deduct for each exemption increased to $4,000 for 2015. |
Standard Mileage
For 2015, the following rates are in effect: * 57.5 cents per mile for business miles driven * 23 cents per mile driven for medical or moving purposes
14 cents per mile driven in service of charitable organizations (no change)
Eligible Long-Term Care Premium Limits
For 2015, the maximum amount of qualified long-term care premiums includible as medical expenses has increased. Qualified long-term care premiums, up to the amounts shown below, can be included as medical expenses on Form 1040, Schedule A, Itemized Deductions: * $380 - age 40 or under * $710 - age 41 to 50 * $1,430 - age 51 to 60 *

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