In this summary of tax reform, we will see that major tax law modifications affect every taxpayer that files a 2018 tax return this year. This article is to assist taxpayers in fully grasping these changes. Therefore, the IRS has made available some resources that are on the IRS.gov website. Here’s a brief summary of key changes:
Some holiday gifts you provide to members of your family, employees and others may also yield tax benefits. Here are some examples:
Do you want to save money with a unique year-end tax strategy? Year-end is rapidly approaching and you only have a couple of months to utilize tax-saving strategies. The Tax Cuts and Jobs Act of 2017 substantially increased the standard deduction and made changes that affect itemized deductions.
So, Senate passes the tax bill. Yes, the Senate GOP finally brought their version of the Tax Cuts and Jobs Act out of committee and before the full Senate. Tax Reform, another name for the bill, passed by a narrow margin of 51-49 down party lines. The only dissenting Republican Senator was Bob Corker of Tennessee, who tweets that he reluctantly cast his vote as “no” over long-term fiscal issues.
The IRS takes action on tax credits for the 2016 tax returns during the 2017 tax season for a good reason. Tax credits and tax fraud costs the government billions of tax dollars a year. The IRS is clamping down on tax credits due to these costs. In an effort to rein in tax fraud, some new laws took effect in 2016. These laws clamp down on individuals who file a fraudulent claim on the American Opportunity Tax Credit (AOTC), the Child Tax Credit (CTC), or the Earned Income Tax Credit (EITC).
One topic that is frequently being discussed is what are President Trump’s tax plan? How will it affect me as an individual? Numerous blog posts on the issue; many say that the wealthy will benefit the most from Trump’s tax plan, and some say that low-income taxpayers will see tax increases. So what is it?
Every year, the Internal Revenue Service announces the optional standard mileage reimbursement rates. The IRS uses these rates to calculate the deductible costs of operating a vehicle for business, charitable, medical or moving purposes. Inflation is the primary reason why mileage reimbursement rates are have been adjusted for 2017.
One example of itemizing deductions includes the cost of medical and dental expenses. For seniors with medical deductions, these include health insurance premiums. In the past, the medical expense deduction had a limit to the amount that exceeds 7.5% of a taxpayer’s adjusted gross income (AGI). I know this is not the most exciting subject; yet, is important that you pay attention to this change.
Pumpkin season with ghouls and goblins are upon us and so are the October tax due dates. Don’t get spooked by it all, at least the tax due dates anyway. Read below for what a person’s or business’ tax responsibility may be for the month of October 2016. Halloween is not the most frightening part of October. If you are not ready for your tax deadlines, you could have a very scary experience when it comes time to file your tax returns in April.
Have you been following the Olympic Games? It is amazing the skill these athletes have. And, kudos to Michael Phelps for breaking a 2000 year old plus record! If you haven’t heard, the record that Michael Phelps broke is 2,168 years old to be exact. Think of him as breaking records from all the way back to 152BC.