Various Tax Benefits Increase Due to Inflation Adjustments for 2013

  • December 6, 2012
  • Steve Wisinski, CPA, MAFF

For tax year 2013, the Internal Revenue Service announced recently annual inflation adjustments for more tax provisions, including:

  • The annual exclusion for gifts rises to $14,000 for 2013, up from $13,000 for 2012.
  • The amount used to reduce the net unearned income reported on a child’s tax return subject to the “kiddie tax,” is $1,000, up from $950 for 2012.
  • The foreign earned income exclusion rises to $97,600, up from $95,100 in 2012.

Details on these inflation adjustments and others such as the low-income housing credit, the dollar limits for high-deductible health plans and other amounts can be found at the IRS website, or just give us a call if you have any additional questions.