J. K. Lasser's New Tax Law Simplified : Your Guide to the Major New Tax Act, Put Money in Your Pocket, And Keep It There!

by J.K. Lasser InstituteTM

• ISBN13: 9780471092803
• ISBN10: 0471092800
• Format: Paperback
• Copyright: 2001-08-01
• Publisher: Wiley

Summary

The most trusted name in tax! April 15th comes once a year. But the new tax laws will change the way we save and plan our financial affairs all year-round. That's why J.K. Lasser provides a comprehensive library of smart financial planning and investing advice for all your needs-for tax season and beyond. J.K. Lasser'strade; Your Income Tax 2002 and J.K. Lasser'strade; Year-Round Tax Strategies 2002 give early planners a head start on understanding the new tax regulations and preparing for filing the return on April 15th. And Lasser's personal finance guides help you make the most of your money from every angle. Consider it total care for your wealth and financial well-being, 365 days a year.

Table of Contents

Introduction	1	(20)
Income Tax Rate Reductions	21	(18)
Individual Income Tax Structure	21	(9)
Tax Rates for 2001 under the New Law	24	(5)
Rebate Checks	29	(1)
Repeal of Phaseout of Itemized Deductions	30	(3)
Repeal of Phaseout of Personal Exemptions	33	(3)
Alternative Minimum Tax Relief	36	(3)
Tax Relief for Families	39	(22)
Tax Benefits Relating to Children	39	(10)
Increase and Expansion of Child Tax Credit	39	(3)
Extension and Expansion of Adoption Tax Benefits	42	(4)
Expansion of Dependent Care Tax Credit	46	(3)
Marriage Penalty Relief	49	(11)
Standard Deduction Marriage Penalty Relief	50	(1)
Expansion of the 15 Percent Rate Bracket for Married Couples Filing Joint Returns	51	(2)
Marriage Penalty Relief and Simplification Relating to the Earned Income Credit	53	(7)
Sale of Principal Residence---In Conjunction with Estate Tax Changes	60	(1)
Tax Relief for Educational Expenses	61	(24)
Education IRAs	62	(4)
Section 529 Qualified Tuition Plans	66	(4)
College Education Deductions	70	(4)
Educational Assistance Plans	74	(1)
Coordination of the Education Incentives	75	(5)
Education IRAs and Education Credits	77	(1)
Contributions to Education IRAs and Qualified Tuition Plans	78	(1)
Qualified Tuition Programs, Education IRAs, and Education Credits	78	(1)
College Tuition Education Deductions	79	(1)
Coverage by Educational Assistance Plans	79	(1)
Student Loans	80	(2)
Scholarships under the National Health Service Corps and the Armed Forces Health Professions Programs	82	(3)
Estate, Gift, and Generation-Skipping Transfer Tax Relief	85	(30)
Phaseout and Repeal of the Estate Tax and Generation-Skipping Tax; Modification of the Gift Tax	86	(5)
Reduction in State Death Tax Credit; Deduction for State Death Taxes Paid	91	(1)
Basis of Property Acquired from Decedent	92	(4)
Basis Increase for Certain Property	96	(4)
Income Tax Exclusion for the Gain on the Sale of a Principal Residence	100	(2)
Reporting Requirements	102	(2)
Installment Payment of Estate Tax for Closely Held Businesses	104	(3)
Transfers to Foreign Trusts, Foreign Estates, and Nonresidents Who Are Not U.S. Citizens	107	(2)
Transfers of Property in Satisfaction of Pecuniary Bequest	109	(1)
Expansion of Estate Tax Rule for Conservation Easements	110	(3)
Generation-Skipping Transfer Tax Rules	113	(2)
Pension and Individual Retirement Arrangement Relief	115	(64)
Individual Retirement Arrangements	115	(6)
Qualified Plan Contributions and Benefits	121	(24)
Increase in Benefit and Contribution Limits	121	(2)
Compensation Limit	123	(1)
Elective Deferral Limitations	124	(2)
Option to Treat Elective Deferrals as Roth Contributions	126	(2)
Nonrefundable Credit to Certain Individuals for Elective Deferrals and IRA Contributions	128	(3)
Additional Deferrals for Employees Age 50 or Older	131	(3)
Faster Vesting of Employer Matching Contributions	134	(2)
Modifications to Minimum Distribution Rules	136	(1)
457 Plans	137	(5)
Provisions Relating to Hardship Withdrawals	142	(2)
Pension Coverage for Domestic and Similar Workers	144	(1)
Increasing Portability for Participants	145	(10)
Rollovers of Retirement Plan and IRA Distributions	145	(2)
Waiver of 60-Day Rule	147	(2)
Automatic Rollovers of Certain Mandatory Distributions	149	(1)
Explanation of Tax Consequences for Recipients of Rollover Distributions	150	(1)
Treatment of Forms of Distribution	151	(4)
Business Owners and Plan Administration	155	(24)
Notice of Significant Reduction in Plan Benefit	155	(2)
Deduction Limits	157	(1)
Plan Loans for S Corporation Shareholders, Partners, and Sole Proprietors	158	(1)
Modification of Top-Heavy Rules	159	(4)
Elective Deferrals Not Taken into Account for Purposes of Deduction Limits	163	(1)
Repeal of Coordination Requirements for Deferred Compensation Plans of State and Local Governments and Tax-Exempt Organizations	164	(2)
Elimination of IRS User Fees for Certain Determination Letter Requests Regarding Employer Plans	166	(2)
Small Business Tax Credit for New Retirement Plan Expenses	168	(1)
Contributions of Employees to Defined Contribution Plans	169	(1)
Distributions after Separation from Service	170	(3)
Employers May Disregard Rollovers for Purposes of Cash-Out Rules	173	(1)
Investment of Employee Contributions in 401 (k) Plans	174	(2)
Treatment of Employer-Provided Retirement Advice	176	(3)
Appendix	179	(42)
Glossary	221	(30)
Index	251