February highlights from The MWE Advisor newsletter include important tax related developments for 2016, updates the IRS made for FAQs on certain ACA provisions, and remembering to take the required minimum distributions (RMDs) this tax season from your traditional IRA if you’re 70½ or older.
10 Important Tax-Related Developments for 2016
Do you recall the major federal tax law changes that happened last year? From HRAs and premium tax credits to delayed refunds and FBAR reporting, 2016 was eventful. Reviewing recent tax-related developments can give individuals and businesses a jumpstart on tax season 2017. In fact, many changes will be reflected on your 2016 tax return. A sidebar discusses the “extenders” that Congress left in limbo when it adjourned last year.
IRS Updates FAQs on Certain ACA Provisions
Although there’s a good chance the Affordable Care Act will be repealed and potentially replaced in the coming months, employers still must comply with the existing rules for 2016, including the information reporting requirements and shared responsibility provisions. The IRS recently revised its FAQs to help employers comply with the current law and avoid penalties for 2016.
Remember RMDs this Tax Season
If you’re 70½ or older, you’re required to take required minimum distributions (RMDs) from your traditional IRA (or IRAs) every year. Here are the requirements — including an extended April 1 deadline for taking RMDs for the year you turn 70½ — as well as details about a tax-free alternative that can satisfy the RMD rules for charitably inclined seniors.