Posts from Mitch Estling
Understanding Entertainment Expenses Under the Tax Cuts and Jobs Act
One of the new provisions under the now signed Tax Cuts and Jobs Act may have you thinking twice before scheduling a round of golf with you customer. Yes, we’re talking about changes to the entertainment expense deduction. Previously, no deduction was allowed for ordinary and necessary expenses for an activity of a type generally […]
Did You Know: Taxpayers are allowed a qualified business income deduction?
If your individual taxable income is typically $315,000 or more ($157,500 for single filers), then this deduction will be phased out for specified service trades such as health, law, consulting, athletics, financial or brokerage services.
Did You Know: 529 Plans Are Expanded with the Tax Cuts and Jobs Act
This new provision gives taxpayers more flexibility by allowing funds in a 529 account to be used to pay for tuition expenses in connection with enrollment in an elementary or secondary public, private or religious school tax-free at the federal level.
Qualified Business Income Deduction
One of the more complex provisions of the Tax Cuts and Jobs Act (TCJA) is the Section 199A deduction which provides individuals a 20% deduction of “qualified business income” (QBI) from a partnership, S corporation, LLC or sole proprietorship. The deduction is an attempt to narrow the federal tax rate difference between corporations (21%) and […]
Tax Reform Roundup – The Details and Our Take
The recently enacted Tax Cuts and Jobs Act (TCJA) includes provisions that will affect businesses and individuals. This is the biggest income tax change since 1986 and there are still a lot of unknowns on how it will apply in different situations and many clarifications are still needed
Did You Know: Tax Cuts and Jobs Act Relates to Like-Kind Exchanges
Exchanges of personal property and intangible property can’t qualify as tax-free like-kind exchanges. That goes for all businesses!
Tax Cuts and Jobs Act of 2017: Last-Minute Year-End Moves to Consider
Congress is enacting the biggest tax reform law in 30 years, one that will make fundamental changes in the way you, your family and your business calculate your federal income tax bill and the amount of federal tax you will pay.
Comparison of House and Senate Tax Bill Recommendations
As another piece of the tax reform puzzle falls into place with the passing of the Senate tax bill on December 2nd, many are struggling to keep straight the various proposed tax changes that could potentially affect them and their organizations.
Section 199 – What It Is and How It May Change with Tax Reform
The Domestic Production Activities Deduction (DPAD), was enacted as part of the American Jobs Creation Act of 2004. It is also referred to by its tax code, section 199. DPAD was created to provide tax relief for businesses that produce goods in the United States rather than overseas. This includes individuals, C and S corporations, […]
Senate Unveils Tax Plan with Some Key Differences from House Proposal
The Senate Finance Committee released its proposed tax reform bill. It contains many of the same proposals as the House bill but does have several differences, most notably not curbing the mortgage interest deduction, more individual tax brackets, pass-through business income differences and not repealing estate tax. The Senate plan would also delay the implementation […]