As the 2024 filing season is quickly approaching, we would like to remind you of important tax changes that will take effect.
Standard Deduction
The standard deductions are increasing based on the federal law; beginning January 1, 2024, from:
- From $13,850 to $14,600 for single and married/registered domestic partner filers filing separately;
- From $20,800 to $21,900 for head of household filers;
- From $27,700 to $29,200 for married/registered partners filing jointly and qualifying widow(er) with dependent child(ren) filers;
- An updated worksheet is available for use by dependent filers.
Additional Standard Deduction: If born before January 2, 1960, or are blind, an additional standard deduction of $1,550 ($1,950 if single or head of household) is allowed.
DC Earned Income Tax Credit
Beginning January 1, 2024, individuals who reside in the District of Columbia but are not citizens or resident aliens, may claim the DC Earned Income Tax Credit.
- For the tax year 2024, if the amount of the DC EITC allowed is $1,200 or more, the taxpayer may choose to receive the credit in 12 equal monthly payments instead of one total payment.
- The investment income test is increased from $11,000 to $11,600.
- For EITC Without Qualifying Children the maximum credit amount has increased from $600 to $632.
Schedule HSR-DC Health Care Shared Responsibility
The filing thresholds have changed. Please see the updated filing thresholds below.
All district residents must either:
- Have qualifying health care coverage for yourself, your spouse/registered domestic partner (if filing jointly or separately on the same return) and anyone you or your married/registered domestic partner claim (or can claim) as a dependent;
- Have a coverage exemption for yourself, spouse/registered domestic partner (if jointly or separately filing on same return) and anyone who can be claimed as a dependent on you or your spouse/registered domestic partner return; or
- Make a health care shared responsibility payment.
Schedule H - Homeowner and Renter Property Tax Credit
The DC real property tax credit is based on your DC real property tax bill for tax year 2024. Do not include special assessments, interest, penalties, and/or services charges.
- Maximum property tax credit has increased from $1,325 to $1,375.
- Federal AGI eligibility threshold for taxpayers under 70 has increased to $63,900.
- Federal AGI eligibility threshold for taxpayers age 70 and older has increased to $87,100.
Schedule ELC - Keep Child Care Affordable Tax Credit
The District taxable income thresholds for the 2024 tax year have changed to:
a. Single and Head of Household: $174,300;
b. Married/Registered Domestic Partners Filing Jointly: $174,300;
c. Married/Registered Domestic Partners Filing Separately on the same return: $174,300;
d. Married/Registered Domestic Partners Filing Separately: $87,100
- The maximum credit amount has increased to $1,160.