TurboTax 2011 Online Tax Preparation Software

Turbo Tax 2011 Tax Software

Some significant tax changes are part of the 2011 Obama proposal but nothing is finalized until congress votes.

Trust TurboTax 2011 to keep you on top and prepared for any changes that become law.

Possible changes for 2011 include:

Bush tax cuts could expire. If they do, then individuals making $200,000 and families making $250,000 will be affected. Top marginal tax rates will be moving up making the 33% rate 36%; what is 35% will shoot up to 39.6%.

Other changes could include:

• Long term capital gains taxes could rise from 15% to 20%.

• A bunch of personal exemptions could expire.

• Itemized deductions may be limited and capped, hurting charitable giving?

• Investment fund managers may have their profits taxed.

• Possible estate tax changes to $3.5 million, with the top rate on taxable assets being 45%.

• Capital gains taxes on small business stock may be eliminated.

• Tax cuts for lower and middle income households could be made permanent, yea!

• No more “wealth” tax for the middle class.

• Child-care, low-income and American Opportunity tax credits may be extended.

Tax Hikes Coming in 2011

Congress is all but certain to increase taxes for both businesses and individuals - and not just singles making more than $200,000 a year and married couples over $250,000 a year.

Figure on tax increases taking effect in 2011, assuming the economy is growing steadily. At that point, reducing the deficit will no doubt be the top priority.

Here’s what’s rising to the top of the list of probable hikes for individuals:

• Boosts in top marginal rates from 33% and 35% to 36% and 39.6%.

• A higher rate on capital gains and dividends for top bracket earners.

• Caps on itemized deductions for top earners.

• No repeal of estate taxes, but count on an exemption of at least $3.5 million, and it could be set as high as $5 million if the Senate prevails. Estate tax legislation will include spousal transfers, making the exemption $7 million or more for couples.

• The estate tax rate will be capped at 45%, as it is now.

• Easing for the alternative minimum tax, but no repeal.

For Turbo Tax 2011, staying on top of longer term tax hikes continues. It's likely they will go even further and hit more people and businesses. The only other option is deep cuts in spending, including Social Security, Medicare and defense. Anyone making more than $100,000 a year will be at risk for higher taxes. The most likely option is to raise the cap on income subject to payroll taxes which now stands at $106,800.

For 2011 TurboTax Tax Software the goal and promise is the same as every year. To get you the biggest refund possible, Guaranteed!