Only seven days left to file a 2013 income tax return on time. If you are required to file a tax return, part of your Social Security benefits may be taxed if you have other income. If one-half of your Social Security benefits plus your other income is between $25,000 and $34,000 (single), or $32,000 and $44,000 (married), up to 50% of your Social Security benefits may be taxable. If your “combined income” is more than $34,000 (single) or $44,000 (married), up to 85% of your benefits may be taxed. Here is an article on Taxation of Social Security Benefits. There is also a tax credit for individuals who are disabled and elderly. IRS Publication 524 provides more information on the tax credit.
Congress has permanently set the estate tax exemption at $5 million per individual and $10 per couple. The exemptions, which have been increased for inflation, are $5.34 and $10.65 million respectively in 2014. The lifetime gift tax exclusion is also $5 million or $5.34 million in 2014. Any number of gifts of up to $14,000 per individual per year can be given without counting toward the lifetime gift tax exclusion.