As you begin preparing your tax return for 2020, here’s a snapshot of what you’ll need to know.
RETIREMENT TAX RESTRICTIONS EASE UP
Qualified individuals who had to tap into retirement accounts early in 2020 because of the COVID-19 pandemic are getting a break.
- More time to pay back early withdrawals without being taxed.
- No income tax required on money borrowed from 401(k) if paid back in five years.
- 10% penalty waived for early IRA and 401(k) withdrawals.
NO TAX ON STIMULUS CHECKS
The payment many Americans received in 2020 under The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) — $1,200 for singles, $2,400 for couples filing jointly — was an advance distribution of a 2020 tax credit, and will not be taxed.
SAVE TIME WITH A TAX PRO
Hiring a tax pro could make a lot of sense depending on your situation. Here are a few instances when you might consider going pro.
- You Have a Lot on Your Plate: Tax season can be stressful, and if you’re worried about making errors or running out of time, it might be easier to bring in a tax pro to handle your returns.
- You Hold Multiple Jobs: If you have several side hustles, you may want to consider using a professional to keep everything straight.
- You Recently Purchased a Home: Home purchases bring a new set of tax circumstances. If you’re unsure of where to begin, a tax preparer can help assess your situation.
- You Have a Large Investment Portfolio: Stocks and other investments can get tricky. A tax professional will make sure all your bases are covered.
IMPORTANT DATES
Deadline to file and pay taxes or request an extension:
April 15
Last day to file a tax return if you received an extension from the IRS:
October 15
STANDARD DEDUCTIONS INCREASED SLIGHTLY
Single:
$12,400
Married Filing Jointly:
$24,800
Head of Household:
$18,650
RETIREMENT CONTRIBUTIONS FOR TAX YEAR 2021
Individual contributions are unchanged for 401(k)s and Individual Retirement Accounts (IRAs).
401(K) Under Age 50: $19,500
401(K) Over Age 50: $26,000
IRA Under Age 50: $6,000
IRA Over Age 50: $7,000
FEATURED PROPERTY
100 EAST 14TH STREET UNIT 2610
Sold | 2 Beds | 2 Baths | 1,387 Square Feet
Views! Views! Views! You will be dazzled by the views that this high floor corner unit features through its floor to ceiling windows! Oversized unit showcases skyline & Lake views plus open West sunsets for your enjoyment. Preferred floorplan welcomes you home with a separate den, split bedrooms and large open main room that is simply perfect for entertaining. Den offers custom built ins that are ideal for working from home! Gorgeous refinished hardwood floors, new carpeting & paint & custom solar shades make this unit move in ready. Spacious kitchen features 42″ cabinetry, Stainless Steel appliances & granite tops & breakfast bar with seating for 5. Bonus sitting area or eat in area right off the kitchen is ideal for casual dining. Your master suite is an oasis with large walk in closet, open West views & all marble bath with Euro height vanity, dual sinks & stand up shower with mud pan base & frameless door. Don’t forget to sit and relax with your coffee or a drink on your private balcony while overlooking all the wonder of the city! All of this in the heart of the South Loop with maximum convenience to everything. Full amenity building includes 24 hr doorstaff, penthouse club room with expansive views, indoor pool & exercise room. Garage parking additional 35K.
FEATURED PROPERTY
100 EAST 14TH STREET UNIT 2610
$569,900 | 2 Beds | 2 Baths | 1,387 Square Feet
Views! Views! Views! You will be dazzled by the views that this high floor corner unit features through its floor to ceiling windows! Oversized unit showcases skyline & Lake views plus open West sunsets for your enjoyment. Preferred floorplan welcomes you home with a separate den, split bedrooms and large open main room that is simply perfect for entertaining. Den offers custom built ins that are ideal for working from home! Gorgeous refinished hardwood floors, new carpeting & paint & custom solar shades make this unit move in ready. Spacious kitchen features 42″ cabinetry, Stainless Steel appliances & granite tops & breakfast bar with seating for 5. Bonus sitting area or eat in area right off the kitchen is ideal for casual dining. Your master suite is an oasis with large walk in closet, open West views & all marble bath with Euro height vanity, dual sinks & stand up shower with mud pan base & frameless door. Don’t forget to sit and relax with your coffee or a drink on your private balcony while overlooking all the wonder of the city! All of this in the heart of the South Loop with maximum convenience to everything. Full amenity building includes 24 hr doorstaff, penthouse club room with expansive views, indoor pool & exercise room. Garage parking additional 35K.
CONTACT US FOR MORE DETAILS OR TO SCHEDULE A PRIVATE SHOWING!
