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Now those widows and widowers will be able to exclude the full $500000 from the gain of the sale of their home IF: the sale occurs no later than 2 years after the date of their spouses' death, and if the ownership requirements were met before the date of the death.   Five, the Kiddie Tax Rules are now expanded to include any child who is over 18 at the end of the year and whose earned income is not more than half of the child's support. (traditional)   Three, for those who wish to make the decision to rollover their traditional IRAs to Roth IRAs you can now rollover funds from:   •a.   Perhaps if those who actually HAVE money to invest were given a reduction they might see fit to invest MORE money in hopes for a higher return! Both groups of children will still be taxed at the parent's tax rate and this does NOT apply to those who are full time students at a strictly online college or institution. A deferred compensation plan of a state or local government (section 457 plan)     Although there would be a 10% additional tax on early distributions, there would be the benefit of these funds growing tax free from this point on.
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