Financial experts say the extension of tax rates for the next few years should provide many seniors with stable planning environments, according to an article in U.S. News & World Report.
Experts suggest seniors create plans that will help them reduce taxes when they liquidate investments to meet long term care and other retirement expense costs. For many seniors, one major advantage of the new law is that they will be able to have lower tax rates for the next two years.
Older taxpayers “are the ones who plan better than anyone else,” says Bob Meighan, vice president of TurboTax, in the U.S. News & World Report article He added that seniors should focus on the continuation of the 15-percent tax rate on qualified dividends and capital gains. Read 2011 Tax Outlook for Seniors.
