Life Insurance among Top Tax Breaks
Life Insurance among Top Tax Breaks
We received great information from Northeast Brokerage. Their message is as follows:
U.S. tax law is filled with so many credits, deductions and exemptions that Americans will be able to reduce their tax bills by about $1.1 trillion this year, according to congressional estimates.
The biggest tax breaks, and the amount they will save taxpayers this year are:
- Employer contributions toward workers’ medical insurance premiums and medical care are not taxed: $181 billion.
- Retirement plan contributions and earnings are not taxed: $165 billion.
- Mortgage interest deduction: $101 billion.
- Lower tax rates on long-term capital gains and qualified dividends: $84 billion.
- Deduction for state and local taxes: $69 billion.
- Deduction for charitable contributions: $46 billion.
- Most Social Security and veterans’ benefits are not taxed: $45 billion
- Interest on tax-exempt state and local government bond is not taxed: $26 billion.
- When someone dies, the capital gains on his investments are not taxed: $24 billion.
- Income from some life insurance products is not taxed: $23 billion.
Sources: National Taxpayer Advocate; Joint Committee on Taxation.
Please call Ion Insurance to discuss your CT Life Insurance needs.
