Notable Tax Law Changes
Congress passed and President Donald Trump signed into law the Tax Cuts and Jobs Act on
Dec. 22, 2017. This is the most sweeping tax reform measure in over 30 years. The new
legislation makes fundamental changes to the Internal Revenue Code that will upend the way
individuals and businesses calculate their federal income tax liability, so as to create numerous
planning opportunities.
The changes affecting individuals include:
-the repeal of the individual mandate under the Affordable Care Act
-reduced new tax rates and brackets
-an increase to the standard deduction
-elimination of personal exemptions
-new limits on itemized deductions (state taxes, mortgage interest)
The changes affecting businesses include:
-a reduction in the C corporate tax rates
-increased expensing and bonus depreciation
-limits on the deduction for business interest
-a new 20% deduction for pass-through business income
Call our office if you have questions on any of these new provisions.