TagApril 15

House Tax Reform Bill Released

By:  Amanda Wilson

Today, House Ways and Means Committee Chairman Brady introduced the much anticipated House Tax Reform Bill – The Tax Cuts and Jobs Act.  The bill is 429 pages, so it will take a little time to digest all the key provisions.  In the meantime, here are a few of the key points:

For individuals:

  • The individual tax rates are reduced from 7 brackets to 4, but the maximum rate remains 39.6%.
  • The standard deductions is approximately doubled for individuals and married couples.
  • Introduces a new family credit, which expands the existing child tax credit.
  • Continues the charitable contribution deduction.
  • Retains the home mortgage interest deduction, but for loans up to $500,000.
  • Continues to allow deduction for state and local property taxes, but only up to $10,000.
  • Retains 401(k) plans.
  • Repeals the much disliked alternative minimum tax for individuals.
  • Doubles the existing estate tax exemption immediately, with a repeal of the estate tax after 6 years.

For businesses:

  • Lowers corporate tax rate to 20%.
  • Lowers maximum tax rate for certain pass-through businesses to 25%.
  • Allows businesses to immediately write-off the full cost of new equipment.
  • Replaces the existing world-wide tax system imposed on corporations with operations overseas.
  • Retains low-income housing tax credits.

Stay tuned for more in-depth discussion of the tax bill.

 

 

 

 

 

Tax Reform Bill Delayed Until Tomorrow

By:  Amanda Wilson

The much anticipated Tax Reform Bill, which was to be released today, has been delayed as the Republicans hash out final details.  The bill is now expected to be released tomorrow.  Stay tuned!

Tax Reform Bill To Be Released November 1

By:  Amanda Wilson

House Ways and Means Committee Chairman Kevin Brady announced that the House’s tax reform bill will be released next week on November 1.  Stay tuned for updates on what the bill will contain.

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