PATH Act

The Protecting Americans from Tax Hikes (PATH) Act of 2015 was a tax law that was signed into law by President Barack Obama on December 18, 2015. The law made a number of changes to the U.S. tax code, including extending several expiring tax breaks and making changes to the individual and corporate income tax rates.

One of the most significant changes made by the PATH Act was to extend the American Taxpayer Relief Act of 2012 (ATRA) tax cuts for two years. The ATRA tax cuts were originally scheduled to expire at the end of 2012, but the PATH Act extended them through 2017. The ATRA tax cuts included a reduction in the top individual income tax rate from 39.6% to 39.1%, a reduction in the top corporate income tax rate from 35% to 34%, and a number of other changes.

The PATH Act also made a number of changes to the individual income tax rates. The law increased the standard deduction for single taxpayers from $6,300 to $6,350 and for married couples filing jointly from $12,600 to $12,700. The law also increased the personal exemption for each taxpayer from $3,950 to $4,050.

The PATH Act also made a number of changes to the corporate income tax rates. The law reduced the corporate income tax rate from 35% to 34%. The law also made a number of changes to the rules for calculating corporate income taxes, including increasing the number of years that corporations can carry back net operating losses.

The PATH Act was a significant piece of legislation that made a number of changes to the U.S. tax code. The law extended the ATRA tax cuts for two years, made changes to the individual and corporate income tax rates, and made a number of other changes.