Important Tax Updates

Changes for your 2023 Tax Returns & Beyond

The SECURE 2.0 Act was signed into law on 12/29/22. It includes a number of changes that could help strengthen the retirement system:


  • The age to start taking RMDs increases to age 73 in 2023 and to 75 in 2033.
  • The penalty for failing to take an RMD will decrease to 25% of the RMD amount, from 50% currently, and 10% if corrected in a timely manner for IRAs.
  • Starting in 2024, RMDs will no longer be required from Roth accounts in employer retirement plans.
  • Catch-up contributions for those who are 50+ will increase in 2025 for 401k, 403b, governmental plans, and IRA account holders.
  • Defined contribution retirement plans will be able to add an emergency savings account associated with a Roth account.


Also, more people may receive Form 1099-K (Payment Card and Third Party Network Transactions) for 2025, showing credit card payments received during the 2024 because the thresholds for reporting those transactions have been lowered.


In Georgia, HB 1437 was signed into law with the following changes to GA Income Taxes as of 1/1/2024:

The personal exemption for married individuals filing a joint return increases to $18,500 in 2024 and gradually increases to $24,000 according to the following schedule (married filing separately are allowed 1/2 the following amounts):

  • 2024: $18,500.00
  • 2026: $20,000.00
  • 2028: $22,000.00
  • 2030: $24,000.00

The law will still allow for itemized deductions for those who itemize federally but the standard deduction has been eliminated.



The tax rate phases down from 5.49% in tax year 2024 to 4.99% in tax year 2029 according to the following schedule:


  •  2024: 5.49
  •  2025: 5.39
  •  2026: 5.29
  •  2027: 5.19
  •  2028: 5.09
  •  2029: 4.99


The retirement exemption for individuals 65+. Currently, individuals 65+ are permitted to recharacterize up to $4,000 of earned income as retirement income for the purpose of calculating the $65,000 retirement income exclusion. For taxable years beginning on and after January 1, 2024, this amount increases to $5,000.


Finally, the bill limits the SALT itemized deduction to the same limitations as the Federal SALT deduction ($10k all but MFS / $5k for MFS).


Tax Time | Cumming, GA | Keystone Accounting Inc

Important Tax Updates

Changes for your 2023 Tax Returns & Beyond

The SECURE 2.0 Act was signed into law on 12/29/22. It includes a number of changes that could help strengthen the retirement system:


  • The age to start taking RMDs increases to age 73 in 2023 and to 75 in 2033.
  • The penalty for failing to take an RMD will decrease to 25% of the RMD amount, from 50% currently, and 10% if corrected in a timely manner for IRAs.
  • Starting in 2024, RMDs will no longer be required from Roth accounts in employer retirement plans.
  • Catch-up contributions for those who are 50+ will increase in 2025 for 401k, 403b, governmental plans, and IRA account holders.
  • Defined contribution retirement plans will be able to add an emergency savings account associated with a Roth account.


Also, more people may receive Form 1099-K (Payment Card and Third Party Network Transactions) in 2025, showing credit card payments received during 2024 because the thresholds for reporting those transactions have been lowered.


In Georgia, HB 1437 was signed into law with the following changes to GA Income Taxes as of 1/1/2024:

  • Personal exemptions have been repealed except for the $3000 dependent exemption.
  • The standard deduction for married individuals filing a joint return increases to $24,000 in 2024 (others are $12,000). However, Georgia law will still allow for itemized deductions for those who itemize federally.
Tax Time | Cumming, GA | Keystone Accounting Inc

The Georgia tax rate phases down from 5.49% in tax year 2024 to 4.99% in tax year 2029 according to the following schedule:


  •  2024: 5.49
  •  2025: 5.39
  •  2026: 5.29
  •  2027: 5.19
  •  2028: 5.09
  •  2029: 4.99


The GA retirement exemption for individuals 65+:

Currently, individuals 65+ are permitted to recharacterize up to $4,000 of earned income as retirement income for the purpose of calculating the $65,000 retirement income exclusion. For taxable years beginning on and after January 1, 2024, this amount increases to $5,000.


Finally, GA HB 1437 limits the SALT itemized deduction to the same limitations as the Federal SALT deduction ($5k for Married Filing Separately / $10k for all others).


Have questions? Call us at 770-886-4424 to learn more.

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