With the end of the year rapidly approaching, we are once again reaching out to share our annual Tax Planning Guide with you. The 2017/2018 Tax Planning Guide is available here www.webtaxguide.net/Bregante.
Sweeping tax law changes that will impact individuals and businesses are outlined in the proposed Tax Plan released by the House Republicans on November 2, 2017 including:
- Proposed decreases to certain individual and most business income tax rates
- Repeal of a number of personal tax breaks including the deduction for state income taxes which can be significant for most California residents, reduction in the amount of new acquisition debt for principal residences that qualifies for the mortgage interest deduction, elimination of the mortgage interest deduction for a second residence or home equity debt incurred after November 2, 2017 and limiting the deduction for state and local property taxes to $10,000
- Enhanced expensing of qualified business property and special tax rates for income from pass-through entities such as partnerships, limited liability companies and S corporations
- Repeal of several business tax breaks including the 50% deduction for business entertainment, the domestic production activities deduction and a number of business credits
If Congress is able to pass new tax legislation before the end of this year, most of the changes would not become effective until 2018 but will make robust 2017 year-end tax planning even more critical.
Significant tax law changes, coupled with ever-evolving changes in accounting rules and financial planning strategies, make it important to help clarify and simplify these issues for you, and we feel that the Tax Planning Guide is a great tool for us to help do that for you.
Feel free to share the link to our Tax Planning Guide with friends and family who you think might find the information interesting or helpful. We hope this will prove to be a convenient source of information for you in the coming months. If you have any questions after reviewing the information presented, please do not hesitate to give us a call.