Although some have criticized the process, priorities, and policies used in the formulation of this major tax system overhaul, we in the tax and accounting industry anticipated action. After several iterations, we finally got our wish for something—anything—in concrete so that we could get tax plans in place before year end and have answers to the many questions that our clients are asking about what tax reform does to their 2018 tax bill. On December
Continue Reading
Archives for Economy
Latest Updates on the Tax Increase Prevention Act of 2014
On December 16, 2014, Congress passed what is known as an extenders package including more than 50 of the tax credits that expired at the end of 2013. President Obama has signed the Act on December 19, 2014 and it is effective for the 2014 tax year only. Some of the most prominent tax credits are: state and local sales tax deduction, higher education tuition deduction, and the exclusion for discharge of mortgage debt, business and
Continue Reading
Tax hikes or yikes – Bush tax cuts expire
Bush tax cuts are due to expire end of 2010: Here are the key provisions: 1) Top marginal income tax rate goes from 35% to 39.6% 2) Qualified dividend tax rate goes from 15% to your income tax bracket, which can be has high as 39.6% 3) Long term capital gain tax rate goes from 15 to 20% for most taxpayers. 4) Section 179 depreciation goes from $250,000 to $25,000 5) Estate tax exemption goes
Continue Reading