Your Tax Year 2024 Checklist

Corporate Transparency Act

New requirement for certain entities to file informational returns with FinCEN.

2024 Possible Market Downturn

Some analysts predict that our economy may slow down this year and there will be a resulting down market.  Consult your financial advisors and accountants to determine if you can harvest tax losses this year. You may be able to offset your capital gains with capital losses.

Rising Interest Rates in 2024

Due to rising interest rates in 2024, consult your financial advisors and accountants to determine if it would be a net benefit for you to do a Roth conversion for a portion of your retirement plan.

2024 Federal Estate Tax Exemption

2022 Federal Estate Tax Exemption is $13,610,000.00 for an individual and $27,220,000.00 for a married couple.


2024 Annual Gift

An individual may gift $18,000.00 to another individual without incurring a federal gift tax. A married couple may gift $36,000.00 (this does not apply for registered domestic partners as gift tax is a federal tax and a couple that is registered with the California Secretary of State, but not married, only receives beneficial tax treatment in the State of California).

Personal Exemption

The personal exemption is suspended through December 31, 2025.


The Federal Standard Deduction

The federal standard deduction has increased for individuals and married couples through December 31, 2025. For 2024, the standard deduction for an individual has increased to $14,600, for an individual head of household has increased to $21,900, and for married couples has increased to $29,200 for married couples.

Your Charitable Gifts

Your charitable gifts may not be deductible this year. If you are charitably minded, but your total charitable gifts and other deductions do not exceed $14,600/$21,900/$29,200, you will not be able to itemize and take a deduction for your charitable gift, you may need to “bundle” or “bunch” your gifts to utilize your full deduction.


California Limited Liability Companies

On January 1, 2014, California had a wholesale change in its law regarding California Limited Liability Companies. The new California Revised Uniform Limited Liability Company Act replaced the Beverly-Killea limited Liability Act in its entirety. The new law changes many of the important legal defaults, which govern the operations of LLCs. One such change provides that the unanimous consent of the members is required to take certain actions. Another change is that, by default, an LLC is managed by its members and not a manager. Thus, if your LLC operating agreement was drafted on or before December 31, 2013, you need to review your LLC.

Directed Trust Act Enacted in California

California Probate Code §§16600-1632.


Uniform Fiduciary Income and Principal Act

On January 1, 2024, California enacted the Uniform Fiduciary Income and Principal Act.