If you're bummed about the elimination of the personal exemption, don't forget that you do have some good news to fall back on. The Child Tax Credit has been doubled to $2,000 per child (it was $1,000 in 2017).
The income limits for the credit have also been raised significantly, to $200,000 adjusted gross income (AGI) for single status and $400,000 AGI for married couples. This means more parents will be able to take advantage of this credit.
In many cases, the additional credit will actually offset the loss of the personal exemption that you could take for yourself, your spouse and children in the past.
Assess your situation now so you won't be surprised by other changes come tax season. Call our office at 805-496-2828 to request a year-end tax projection while there is still time to make changes.
