USA taxation – Pilger Nebraska http://pilgernebraska.net/ Mon, 26 Sep 2022 16:53:19 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://pilgernebraska.net/wp-content/uploads/2021/10/icon-47-150x150.png USA taxation – Pilger Nebraska http://pilgernebraska.net/ 32 32 OC close to approving tax rate https://pilgernebraska.net/oc-close-to-approving-tax-rate/ Mon, 26 Sep 2022 16:53:19 +0000 https://pilgernebraska.net/oc-close-to-approving-tax-rate/ The Odessa College Board of Trustees will consider approving the 2022 tax rate at its meeting scheduled for 6:30 p.m. Tuesday in the Zant Community Hall in the center of the Saulsbury campus. The proposed rate is 0.188643 per $100 of assessment. That’s a 6.5% drop from last year’s tax rate. Last year’s tax rate […]]]>

The Odessa College Board of Trustees will consider approving the 2022 tax rate at its meeting scheduled for 6:30 p.m. Tuesday in the Zant Community Hall in the center of the Saulsbury campus.

The proposed rate is 0.188643 per $100 of assessment. That’s a 6.5% drop from last year’s tax rate.

Last year’s tax rate was 0.201723 per $100 of assessment.

The no new income rate for 2022 is 0.177210 per $100 of assessment. The no-new-income rate, formerly known as the effective rate, is the tax rate you must assess to receive the same amount of income as the previous year.

At a Sept. 20 workshop, board chairman Gary Johnson said most of the ratings this year came from minerals and new construction.

Two tax rate hearings were held, but no one from the public attended or spoke.

Administrators will also consider a tax abatement for GCC, which produces cement, concrete, aggregates and innovative products for construction industries in Mexico, the United States, Latin America and Canada, according to its website.

Also on the program:

>> Review and approve First Basin Credit Union Naming Agreement.

>> A continuing education update.

>> Institutional Effectiveness Report.

>> Vision 2030 plus update.

>> President’s report includes Drive to Success Kickoff; Wrangler Overview; 30 for 30 fitness challenge; and the Permian Basin Fair.

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European stocks close 2.3% lower as UK tax cuts and weak eurozone data disrupt markets https://pilgernebraska.net/european-stocks-close-2-3-lower-as-uk-tax-cuts-and-weak-eurozone-data-disrupt-markets/ Fri, 23 Sep 2022 15:43:00 +0000 https://pilgernebraska.net/european-stocks-close-2-3-lower-as-uk-tax-cuts-and-weak-eurozone-data-disrupt-markets/ The pound sterling fell 2.8% against the dollar The pound continued to fall on Friday afternoon, losing up to 2.8% against the dollar. It was trading at $1.0941 as of 3:45 p.m. London, as analysts said the prospect of hitting parity in the dollar was certainly on the table. Investors appear to have been ‘scared […]]]>

The pound sterling fell 2.8% against the dollar

The pound continued to fall on Friday afternoon, losing up to 2.8% against the dollar.

It was trading at $1.0941 as of 3:45 p.m. London, as analysts said the prospect of hitting parity in the dollar was certainly on the table.

Investors appear to have been ‘scared off’ by the UK government’s massive tax cut package at a time of much higher spending on an energy price support package and higher interest rates .

—Jenni Reid

German short-term bond yields at 14-year high

The two-year yield on German government bonds hit 2.0009%, its highest level since December 2008.

This followed a decline in the Eurozone Purchasing Managers’ Index, which led to renewed recession warnings, and the announcement of a UK tax cut package, which triggered a massive sale of UK government bonds.

The yield on German 10-year bonds exceeded 2% for the first time since December 2011.

Last month, German bonds suffered their worst month since 1981 amid high inflation and volatility in energy and equity markets.

—Jenni Reid

Italian election: A probable victory for the far right?

Italian voters will elect the country’s next prime minister on Sunday, with polls suggesting a shift to the right.

The snap election will likely mark the country’s biggest political shift in decades as the country continues to struggle with economic instability.

Read CNBC’s full election preview here.

—Hannah Ward-Glenton

Sterling hits 37-year low at $1.11

The pound hit a new 37-year low against the dollar at $1.11, down 1.41%, following an economic announcement from UK Finance Minister Kwasi Kwarteng.

—Hannah Ward-Glenton

UK stocks fall, pound rises on new economic plan

UK drops plans to raise corporate tax

UK Finance Minister Kwasi Kwarteng has confirmed that the UK government will not raise corporation tax to 25% as planned.

The rate will remain at 19% in an attempt to revive economic growth.

—Hannah Ward-Glenton

UK government announces $67 billion energy package and tax cuts

Britain’s finance minister has announced a series of measures to help tackle the rising cost of living and boost the country’s economy, including a £60 billion ($67 billion) energy package .

The package will subsidize household and business gas and electricity bills for the next six months.

The government also announced tax cuts for businesses in designated sites, financial services reforms and the removal of banker bonus caps.

—Hannah Ward-Glenton

Eurozone likely to enter recession as rising prices hit demand

The euro zone will likely slip into recession as the slowdown in business activity in the region deepened this month, according to S&P Global.

S&P Global’s Purchasing Managers’ Index (PMI) fell to 48.2 in September from 48.9 in August.

High energy costs hit manufacturers hard after Russia invaded Ukraine, and soaring prices contributed to deteriorating business conditions.

September is the third month in a row that the PMI has fallen below 50, the benchmark separating growth and contraction.

—Hannah Ward-Glenton

FTSE muted ahead of UK mini-budget

The UK’s FTSE 100 is fairly flat this morning as investors await a mini-budget from the country’s finance minister, Kwasi Kwarteng.

The measures set out in the budget announcement are expected to spur the slowdown in the UK economy.

Tax cuts, energy subsidies and planning reforms are expected to make up the £200bn ($225bn) package.

—Hannah Ward-Glenton

HSBC warns investors to avoid European stocks

Investors should avoid investing in Europe in the hunt for value stocks as the continent’s energy crisis means the risk-reward ratio is still not there, according to Willem Sels, global CIO at HSBC Private Banking and Wealth Management .

“I would caution against buying Europe due to lower valuations and interest rate movements,” said Willem Sels of HSBC Private Banking.

Learn more here.

Here’s how the pan-European Stoxx 600 has traded year-to-date:

Credit Suisse shares hit rock bottom

Credit Suisse leads the early morning market slowdown after a report on a possible capital raise.

Shares of the investment bank hit a record low of 4.335 francs in early trading.

—Hannah Ward-Glenton

European markets: here are the opening calls

European stocks are expected to open in positive territory on Friday as investors react to central bank rate hikes and signals of recession in the United States.

Britain’s FTSE 100 index is set to open around 25 points higher at 7,172, Germany’s DAX is set to rise 38 points to 12,581, France’s CAC 40 is set to rise 13 points and Italy’s FTSE MIB is set to rise 42 points, according to forecasts. GI data.

CNBC Pro: Is it Time to Buy Treasuries? Here’s how to allocate your portfolio, according to the pros

CNBC Pro: Support hedge funds to outperform stocks and bonds this year, UBS says

As stock and bond prices fall simultaneously, hedge funds have largely outperformed and are “well positioned to weather the current market volatility”, according to a new report from UBS.

As market volatility persists, the Swiss bank shared the types of hedge funds it prefers.

Pro subscribers can learn more here.

—Ganesh Rao

Nomura lowers China’s growth outlook for 2023

Nomura lowered its forecast for China’s annual growth in 2023 to 4.3% from 5.1%.

Analysts cited a potentially prolonged Covid-zero policy or a spike in infections in the country after a possible reopening in March.

The latest downgrade comes after Goldman Sachs lowered its outlook earlier this week to 4.5% from 5.3%.

William Ma of Grow Investment Group told CNBC’s “Street Signs Asia” that he was optimistic about the policy changes he sees coming after the People’s Party Congress in mid-October.

—Jihye Lee

Futures start flat in post-trade

Stock futures were flat after another tumultuous day as investors continue to grapple with the Federal Reserve’s decision to raise rates and worries about the health of the economy.

Dow Jones Futures rose 41 points, or 0.14%, to 30,190. The S&P 500 rose 4 points, or 0.11%, to 3,776. The Nasdaq 100 rose 10 points , 0.09%, to 11,575.50.

—Alex Harring

]]> Student Loan Borrowers Beware: You May Have to Pay State Tax on Canceled Debt Even If You Don’t Receive an IRS Form 1099-C – Financial Services https://pilgernebraska.net/student-loan-borrowers-beware-you-may-have-to-pay-state-tax-on-canceled-debt-even-if-you-dont-receive-an-irs-form-1099-c-financial-services/ Tue, 20 Sep 2022 16:51:42 +0000 https://pilgernebraska.net/student-loan-borrowers-beware-you-may-have-to-pay-state-tax-on-canceled-debt-even-if-you-dont-receive-an-irs-form-1099-c-financial-services/ September 20, 2022 McGlinchey Stafford To print this article, all you need to do is be registered or log in to Mondaq.com. As reported late last year, the IRS announced in Notice 2022-1 (Notice) that lenders are not required and should not issue IRS Forms 1099-C when certain student loan debt are cancelled. […]]]>

To print this article, all you need to do is be registered or log in to Mondaq.com.

As reported late last year, the IRS announced in Notice 2022-1 (Notice) that lenders are not required and should not issue IRS Forms 1099-C when certain student loan debt are cancelled. The notice followed changes made to Section 108 of the Internal Revenue Code (Code) by the American Rescue Plan Act of 2021, which expanded the types of student loan debt discharges (forgiveness) that will be excluded from income. The Biden-Harris administration’s student debt relief plan further expands the types of student loans that will be forgiven.

For your information, when a lender files an IRS Form 1099-C with the IRS (and provides a copy to the borrower), they notify the IRS and the borrower of the amount of debt forgiven. In addition to informing the borrower of the amount of forgiven debt, IRS Form 1099-C reminds the borrower that tax may be due on the forgiven debt.

Although student loan debt forgiveness may be excluded from income for federal income tax purposes, some states do not exclude such debt forgiveness from income for state income tax purposes. . This means the borrower may have to pay state income tax on the canceled student loan debt.

If the IRS and the borrower do not receive an IRS Form 1099-C from a lender when a debt is canceled, they do not have a verified statement of the canceled amount.

Student borrowers who have obtained debt forgiveness need to know if their state will enforce debt forgiveness. If so, they should receive a clear statement from the lender of the amount of debt forgiven. This amount may need to be added back to their adjusted gross income reported on their IRS tax return to determine their taxable income in the state.

The content of this article is intended to provide a general guide on the subject. Specialist advice should be sought regarding your particular situation.

POPULAR ARTICLES ON: Finance and Banking of the United States

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DeSantis used Florida tax money when migrants were sent to Martha’s Vineyard https://pilgernebraska.net/desantis-used-florida-tax-money-when-migrants-were-sent-to-marthas-vineyard/ Fri, 16 Sep 2022 21:50:43 +0000 https://pilgernebraska.net/desantis-used-florida-tax-money-when-migrants-were-sent-to-marthas-vineyard/ TALLAHASSEE – Governor Ron DeSantis paid $615,000 in Florida taxpayer money to relocate nearly 50 Venezuelan migrants of Texas at Martha’s Vineyard as calls intensified on Friday from Democrats demanding an investigation into the action. Democrat Charlie Crist, who is challenging DeSantis in the November gubernatorial race, tweeted the dollar amount after campaign researchers found […]]]>

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Parkersburg man pleads guilty to federal tax offense https://pilgernebraska.net/parkersburg-man-pleads-guilty-to-federal-tax-offense/ Thu, 15 Sep 2022 00:33:00 +0000 https://pilgernebraska.net/parkersburg-man-pleads-guilty-to-federal-tax-offense/ CHARLESTON, W.Va. (WTAP) – A Parkersburg man has pleaded guilty to filing a false federal tax return after reporting that his moving company suffered losses despite making a six-figure profit. His name is Christopher Daniels. According to court documents and statements made in court, from at least 2013 through at least 2020, Daniels owned and […]]]>

CHARLESTON, W.Va. (WTAP) – A Parkersburg man has pleaded guilty to filing a false federal tax return after reporting that his moving company suffered losses despite making a six-figure profit. His name is Christopher Daniels.

According to court documents and statements made in court, from at least 2013 through at least 2020, Daniels owned and operated Accedia Moving Services LLC. Daniels admitted to misrepresenting or inflating business expenses to report a loss of taxable income of $18,898 on his 2017 U.S. personal income tax return. Daniels admitted that his business should have reported a profit of $187,771 for the 2017 tax year.

Daniels further admitted to reporting false information on his U.S. personal income tax forms for the 2016-2019 tax years. Daniels reported taxable income losses totaling $164,491 for the years of taxation where he should have declared an income totaling $410,459. Income taxes due and payable total $148,653.

Daniels admitted to failing to properly withhold $119,417.46 in employment taxes, including federal taxes and the employer’s portion of Social Security and Medicare taxes. Daniels also admitted to failing to pay $12,018 in West Virginia workers’ compensation premiums on those unreported wages.

Daniels admitted that the total amount of tax liability he wrongfully withheld from state and federal entities is approximately $280,088.

Daniels is due to be sentenced Dec. 15, 2022, and faces a maximum sentence of three years in prison, one year of supervised release and a $250,000 fine. Daniels also agreed that he owed $280,088 in restitution.

US Attorney Will Thompson made the announcement and praised the investigative work of the Internal Revenue Service-Criminal Investigation.

U.S. Senior District Judge John T. Copenhaver Jr. presided over the hearing. Assistant United States Attorney Kathleen Robeson is prosecuting the case.

A copy of this press release can be found on the website of the US Attorney’s Office for the Southern District of West Virginia. Court documents and related information can be found at PACER looking for case #2:22-cr-126.

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IRS Tax: What Steps Do You Need to Take to Find Your Tax Refund? https://pilgernebraska.net/irs-tax-what-steps-do-you-need-to-take-to-find-your-tax-refund/ Mon, 12 Sep 2022 07:44:47 +0000 https://pilgernebraska.net/irs-tax-what-steps-do-you-need-to-take-to-find-your-tax-refund/ Many United States citizens are wondering how they are supposed to get their tax refund from the Inland Revenue Service (IRS). Many taxpayers have already been waiting for many months to receive their refunds because the deadline for submitting the files goes back a long time. As of August 26, the IRS had 8.2 million […]]]>

Many United States citizens are wondering how they are supposed to get their tax refund from the Inland Revenue Service (IRS).

Many taxpayers have already been waiting for many months to receive their refunds because the deadline for submitting the files goes back a long time.

As of August 26, the IRS had 8.2 million unprocessed tax returns.

Of these, 1.7 million declarations contain errors or require special handling, while 6.5 million are paper declarations that still need to be reviewed and processed.

This is a mix of filings for 2021 and late filings for previous tax years, the agency said in its latest operations update.

The IRS says it was essentially unable to process 2022 returns until it finished processing all 2021 returns.

Why didn’t the IRS process the 2022 returns?

These are unprecedented delays considering that before the pandemic, the IRS tended to issue refunds to paper filers within four and six weeks. In the past year, that number has grown to more than six months, meaning many Americans are wondering what’s going on.

There’s a good amount of money on the way to many filers and the average refund this year is $3,039 by some estimates.

How do you track your IRS refund?

One of the top three options for getting more information is to track your refund using the IRS Where’s my refund? tool.

If you do it electronically, the tool will be available 24 hours after your deposit. If you file by mail, it will be available four weeks after you mail your return. Updates are made to the tool daily, usually overnight.

Calling the IRS if it has been 21 days or more since filing online is another option. There is also the more extreme route of requesting a replacement refund if it has been more than 28 days from the date the IRS sent your refund.

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Warnock accuses big oil companies of price gouging, introduces new tax bill https://pilgernebraska.net/warnock-accuses-big-oil-companies-of-price-gouging-introduces-new-tax-bill/ Wed, 07 Sep 2022 16:14:00 +0000 https://pilgernebraska.net/warnock-accuses-big-oil-companies-of-price-gouging-introduces-new-tax-bill/ ATLANTA, Ga. (CBS46) – Even as gas prices fall, Georgia U.S. Senator Raphael Warnock said big oil companies continue to price gouging and have introduced legislation increasing taxes on their profits. “Georgians paid record prices at the pumps while oil and gas companies posted record profits,” Warnock told CBS46 on Wednesday morning. “This bill makes […]]]>

ATLANTA, Ga. (CBS46) – Even as gas prices fall, Georgia U.S. Senator Raphael Warnock said big oil companies continue to price gouging and have introduced legislation increasing taxes on their profits.

“Georgians paid record prices at the pumps while oil and gas companies posted record profits,” Warnock told CBS46 on Wednesday morning. “This bill makes an adjustment to our country’s tax code and encourages oil and gas companies to pass their profits on to consumers.”

The Taxing Big Oil Profiteers Act would use the Internal Revenue Services as an enforcement agency.

Wednesday, GasBuddy gasoline prices reported had fallen for 12 straight weeks, the longest streak of declines since 2018. The national average gasoline price fell to $3.75, down 29.5 cents from the month previous year, but it is still 57.6 cents higher than a year ago.

Gas analysis experts are hopeful that lower gas prices will continue into the fall, but could depend on what happens in the tropics.

“According to weather analysts, this is the first time in 25 years that a named Atlantic storm hasn’t developed in August. That’s the good news,” said Andrew Gross, AAA spokesperson. “But we have yet another month of peak hurricane season, and these storms can affect gas prices by disrupting oil production and refining.”

GasBuddy analyst Patrick De Haan noted that the switch to winter gasoline will happen in just over a week and should bring further relief to pumps.

Most of the country’s cheapest markets are in the southern region and include states like Texas, Arkansas, Mississippi, and Georgia.

Warnock, along with U.S. Senator Ron Wyden (D-Oregon) introduced the bill last month. Warnock’s office said the bill would increase the corporate tax rate on “excess profits” of oil and gas companies by taxing large buybacks of oil and gas shares. It would also eliminate an accounting loophole used by major oil and gas companies to lower their tax bills.

This bill only applies to the wealthiest oil and gas companies that have, on average, revenues of at least $1 billion over the previous three years.

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Trump blasts FBI for seizing medical and tax records, compares action to ‘Soviet Union days’ https://pilgernebraska.net/trump-blasts-fbi-for-seizing-medical-and-tax-records-compares-action-to-soviet-union-days/ Wed, 07 Sep 2022 14:05:34 +0000 https://pilgernebraska.net/trump-blasts-fbi-for-seizing-medical-and-tax-records-compares-action-to-soviet-union-days/ NEWYou can now listen to Fox News articles! Former President Donald Trump blasted the FBI on Wednesday, reacting to the revelation that during the raid on his Mar-a-Lago home, officials seized his medical and tax records. U.S. District Court Judge Aileen M. Cannon revealed Monday that Trump’s medical records and documents related to his accounting […]]]>

NEWYou can now listen to Fox News articles!

Former President Donald Trump blasted the FBI on Wednesday, reacting to the revelation that during the raid on his Mar-a-Lago home, officials seized his medical and tax records.

U.S. District Court Judge Aileen M. Cannon revealed Monday that Trump’s medical records and documents related to his accounting and tax information were seized by the FBI. Fox News has learned from a familiar source that the medical records go back 40 years.

“Not only did the FBI steal my passports during the FBI raid and burglary of my home, Mar-a-Lago, but we just learned through court records that they also improperly took my file. complete and highly confidential medical and my history., with all the bells and whistles (at least they’ll see that I’m in very good health, an absolutely perfect physical specimen!), plus personal tax records (illegal to take) and attorney/client/preferred information, a definite NO, NO,” Trump said in a post on Truth Social. “Days of the Soviet Union!”

The former president was not the only one to castigate the government. His attorney, Chris Kise, blasted the Justice Department for leaking their ongoing investigation to the media. Most recently, this included a Washington Post report that the seized documents included items containing a description of a foreign government’s nuclear capabilities. Contacted about the report by Fox News, the FBI and DOJ declined to comment.

TRUMP MEDICAL RECORDS, TAX DOCUMENTS SEIZED IN FBI RAID: JUDGE

Kise noted in a statement to Fox News that the judge specifically questioned the government’s legal team about the leaks and acknowledged the harm Trump could suffer from it.

“Unfortunately, even after the Court specifically noted in its Order that President Trump ‘faces potential unquantifiable harm from improperly disclosing sensitive information to the public’ and questioned U.S. Counsel directly about the leaks, these leaks continue with no respect for the process or any regard for the real truth,” Kise said.

FEDERAL JUDGE ORDERS APPOINTMENT OF SPECIAL MASTER TO REVIEW SEIZED TRUMP FILES

“It does not serve the interests of justice well,” he continued. “Furthermore, the damage to public confidence in the integrity of the system simply cannot be underestimated. The responsible course of action here would be for someone – anyone – in government to exercise a leadership and control. The Court has provided a sensible course which does not include the selective leaking of unverifiable and misleading information. There is no reason to deviate from this course if the objective is, as it stands must, to find a rational solution to the problems of storing documents that have unnecessarily spiraled out of control.”

Former President Donald Trump speaks to supporters at a rally in support of local candidates in Wilkes-Barre, Pennsylvania on September 3, 2022.
(Spencer Platt/Getty Images)

CLICK HERE TO GET THE FOX NEWS APP

Lawmakers and Democratic officials in New York have been seeking Trump’s tax records for years. On September 1, his legal team revealed in a court filing that they reached a settlement with the House Oversight Committee and accounting firm Mazars USA in a case where the committee had subpoenaed company records. The filing did not reveal any details of the settlement agreement.

Fox News’ Brooke Singman contributed to this report.

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Tax refunds, IRS office schedule, additional SNAP benefits, gas prices… https://pilgernebraska.net/tax-refunds-irs-office-schedule-additional-snap-benefits-gas-prices/ Mon, 05 Sep 2022 21:01:54 +0000 https://pilgernebraska.net/tax-refunds-irs-office-schedule-additional-snap-benefits-gas-prices/ Hello again everyone and welcome to another MARCA in English daily financial blogwith all the news coming out of United States this monday september 5. Our live blog will bring you the latest updates on a variety of financial matters such as Gas prices, Tax rebates and IRS office hours, additional SNAP benefits among other […]]]>

Hello again everyone and welcome to another MARCA in English daily financial blogwith all the news coming out of United States this monday september 5.

Our live blog will bring you the latest updates on a variety of financial matters such as Gas prices, Tax rebates and IRS office hours, additional SNAP benefits among other topics. Additionally, various money-saving tips and benefits programs will be rolled out across the country.

So, just below and with the most recent updates nearest the top, we’ll have information on how to get cheaper gas or even free gas in certain parts of the country, as well as details on the most important benefit programs.

U.S. Finance Updates, Monday, September 5: The latest money-saving tips and benefits news

As we always do in our MARCA In English Financial News Blogswe tell you about the benefits programs you need to know about, what they are called and who is entitled to them.

This includes stimulus checkswhich are no longer distributed at the federal level but still exist at the state level, depending on where you live and your state government’s current policies.

There is also more general money saving tips worth knowing, especially in this period of very high inflation.

Gas prices remain high, although there was a slight reduction last week. But, you have to keep in mind that it is possible to pay a little less at the pump if you shop around a bit. We will therefore provide you with a list of cheap gas stations in the big cities.

There is a lot to discuss, so follow this topic Monday’s U.S. financial news Blog.

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District of Columbia tax changes take effect October 1, 2022 for real estate, personal income and franchise taxes https://pilgernebraska.net/district-of-columbia-tax-changes-take-effect-october-1-2022-for-real-estate-personal-income-and-franchise-taxes/ Sat, 03 Sep 2022 21:08:00 +0000 https://pilgernebraska.net/district-of-columbia-tax-changes-take-effect-october-1-2022-for-real-estate-personal-income-and-franchise-taxes/ The District of Columbia’s Office of Tax and Revenue (OTR) reminds taxpayers, tax professionals, software vendors, businesses and others of the tax changes that were enacted into the Budget Support Act of 2022 emergency for fiscal year 2023. These tax changes will come into effect on October 1, 2022, unless otherwise indicated, for the following […]]]>

The District of Columbia’s Office of Tax and Revenue (OTR) reminds taxpayers, tax professionals, software vendors, businesses and others of the tax changes that were enacted into the Budget Support Act of 2022 emergency for fiscal year 2023.

These tax changes will come into effect on October 1, 2022, unless otherwise indicated, for the following types of taxes:

Real estate:

  • The Seniors and Persons with Disabilities Property Tax Increase Limit Act, 2022: The Senior Citizens Assessment Cap Credit limits taxable assessment increase to 2%, effective TY 2023 (current taxable assessment increase limit is 5%). The increase in the amount of the benefit will be reflected from the property tax bill of the first semester TY 2023. This is automatic for elderly/disabled people who already benefit from the tax benefit.
  • Disabled Veterans Homesteads Amendment Act 2022: A homestead deduction of $445,000 (deducted from assessed value) has been established for individual property owners who have a total and permanent disability resulting from a service-related condition or who are paid at the disability level 100% due to unemployability. Benefit is subject to household income threshold for Elderly/Disability Tax Relief, currently $139,900 for TY 2022. Veteran must have certification of eligibility from DC Veterans Affairs.
  • Inner City Housing Tax Abatement Act 2022: Tax allowances have been introduced for certain buildings undergoing a change of use to provide at least ten dwellings. For each qualifying property, property tax will be reduced by an annual amount per residential square foot for up to 20 years, subject to total annual program caps.

Individual income:

  • District Income Tax Credit (EITC): For the 2022 tax year, the DC EITC percentage has been increased to 70% of the Federal EIC. People with eligible children receiving the DC EITC will be paid differently than in the past. Taxpayers will receive a refund equal to 40% of their federal EIC as usual after their return has been processed. However, the additional 30% of the EITC DC will be paid in monthly installments over the 11 months in accordance with district law.

In addition, certain district residents who are not citizens or resident aliens of the United States and who are not eligible for the federal earned income tax credit will be eligible for a district EIC beginning in the year of taxation 2023.

  • New District of Columbia Tax Rate Schedule: For the 2022 tax year, the DC income tax rate schedule is:
No more than $10,000 4% of taxable income
More than $10,000 but not more than $40,000 $400 plus 6% of excess over $10,000
More than $40,000 but not more than $60,000 $2,200 plus 6.5% of excess over $40,000
More than $60,000 but not more than $250,000 $3,500 plus 8.5% of excess over $60,000
More than $250,000 but not more than $500,000 $19,650 plus 9.25% of excess over $250,000
More than $500,000 but not more than $1,000,000 $42,775 plus 9.75% of excess over $500,000
Over $1,000,000 $91,525 plus 10.75% of excess over $1 million

Corporate Franchise and Unincorporated Business:

  • cigarettes: The fixed tax remains at $4.50 per pack of 20 cigarettes. However, the surtax increases from $0.51 to $0.52 per pack of 20 cigarettes. Therefore, the combined excise tax on cigarettes per pack of 20 cigarettes is $5.02.
    OTR will not administer a tax floor as part of this cigarette tax increase, and the cigarette stamps currently in use will not change when the tax increases on October 1. Cigarette stamps purchased on or after October 1 will be sold at the new tax. assess.
  • Other Tobacco: The tax rate on other tobacco products is reduced from 80% of wholesale sales of other tobacco products to 79% of wholesale sales of other tobacco products. In addition, the price for little cigars remains at $0.2510 per little cigar.
  • Fuel tax: The fuel surtax is increased from $0.103 to $0.107 per gallon on the sale of gasoline, gasohol and other automotive fuels. This surtax is in addition to the $0.235 tax on the sale of gasoline, gasoline-alcohol and other fuels for motor vehicles.

The following sources of income will be excluded from the district’s gross income calculation (retroactive to January 1, 2022, when Congress’s review period of the Fiscal Year 2023 Budget Support Act of 2022 expires) :

  • Washington Convention and Sports Authority cash assistance grants to excluded workers (extended to tax year ending December 31, 2023 only).
  • The following subsidies granted by the deputy mayor in charge of planning and economic development:
    • Grants to Housing Providers Granted Under DC Code § 1-328.04(w); and
    • Central Business District grants awarded under DC Code § 1-328.04(x).
  • The following grants awarded by the Ministry of Energy and Environment:
    • Funding received through the Solar for All program established by DC Code § 8-1774.16; and
    • Sustainable Energy Trust Fund grants awarded pursuant to DC Code § 8-1774.10(c)(22).
  • Rebates issued by the mayor as part of the incentive program for automated external defibrillators.
  • Lump sum payments received by individuals from the Early Educator Pay Equity Program pursuant to DC Code § 1-325.431(c)(1A).

Additional Resources:

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