Harless Tax Blog
Source from fa-mag.com |
The U.S. House of Representatives approved legislation that relaxes the rules for retirement savers and corrects an unintended side-effect of the 2017 tax law that hit children of military members who died in combat with higher-than-expected tax bills.
The bill, which passed Thursday with a vote of 417-3, delays until 72 the age at which retirees must start withdrawing from individual retirement accounts and removes the age limit at which taxpayers must stop contributing. Now, taxpayers have to stop contributing to such accounts at age 70 1/2 and begin taking distributions. An amendment recently added to the bill also reverses an error in the 2017 tax law that had caused military families, known as “Gold Star” families to owe much higher taxes on survivor benefits. See More