Los Angeles, CA, November 03, 2013 --(PR.com
)-- The American Association for Long Term Care Insurance announced today release of increased deductibility levels for long-term care insurance policies purchased in 2014.
"For taxable years beginning in 2014, the limitations have been increased again," explains Jesse Slome, executive director of the American Association for Long-Term Care Insurance (AALTCI), the industry's trade association. “Tax advantaged long-term care insurance remains one of the few remaining significant tax-savings benefits especially meaningful for small business owners."
The deductible limits under Section 213(d)(10) for eligible long-term care premiums included in the term ‘medical care’ are as follows:
Attained Age Before Close of Taxable Year 2014 Deductible Limits
40 or less $ 370
More than 40 but not more than 50 $ 700
More than 50 but not more than 60 $1,400
More than 60 but not more than 70 $3,720
More than 70 $4,660
For calendar year 2014, the per-diem limitation under Section 7702B(d)(4) for periodic payments received under a qualified long-term care insurance contract is $330 (the 2013 limit was $320).
The American Association for Long-Term Care Insurance is the national association serving insurance and financial professionals who provide long-term care financing solutions. A complete explanation of tax deductible rules for individuals and business owners can be found on the Association's website at www.aaltci.org/tax.