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Family Plan Tax Split Is Out
Parents relying on income splitting with dependents to save on taxes face a shock as new tax rules bar dependents from using the standard deduction or low income allowance to offset unearned income. The change limits deductions to earned income, forcing many to owe taxes on their previously shielded interest and dividends. The note ends by urging continued saving within old exemption limits and hints at broader government spending needs.
MENTIONED IN THIS ARTICLE
Junior
Raymond Trayer
Suzy
Congress
Nonprofit
Tax Foundation
Tegucigalpa
Hondur