Tax Cuts 2017

Legal Challenge to Federal Overtime Rules
October 10, 2018
Show all

Tax Cuts 2017

U.S. Income Tax Return forms 1040,1065,1120

After months of intense negotiations, the President signed the “Tax Cuts And Jobs Act Of 2017” (the “New Law”) on December 22, 2017 – the most significant tax reform since 1986! It is no overstatement to say that this mammoth tax bill will have a significant impact on virtually every business and individual. Generally starting in 2018, the New Law: Reduces income tax rates for the vast majority of individual taxpayers; Substantially increases the standard deduction; Reduces or eliminates altogether certain itemized deductions; Expands or modifies certain child and dependent tax incentives; Modifies certain tax incentives for education costs; Restricts or eliminates certain employee tax-free fringe benefits; Eliminates the alternative minimum tax for corporations; Doubles the estate tax exemption; Significantly reduces the corporate tax rate; Provides for more rapid business write-offs for capital expenditures; Reduces the tax burden on owners of pass-through business entities (e.g., proprietorships, partnerships, LLCs, S corporations); and much more.

This letter highlights tax changes in the New Law we believe will have the greatest impact on our individual and business clients. The New Law’s legislative text exceeds 400 pages. Consequently, this letter highlights only selected changes. If you have questions concerning other provisions in the New Law not discussed in this letter, please call our office for details. Also, we suggest you call our firm before implementing any tax planning technique discussed in this letter. You cannot properly evaluate a particular planning strategy without calculating your overall tax liability with and without that strategy. This letter contains ideas for Federal income tax planning only. State income tax issues are not addressed.

Please click on the link below to download our PDF discussion of the Tax Cuts and Jobs Act of 2017:

Burch Oxner Seale Co. – Tax Cuts and Jobs Act of 2017 Letter