The Tax Cuts and Jobs Act of 2017 (the “Tax Act”) made wholesale changes in the federal taxation of business income and expenses for corporations and limited liability companies, which can be beneficial to you and your company if you know how to take advantage of them.
The Tax Act took effect January 1, 2018 and applies to businesses of all sizes. The primary result of the Tax Act are very substantial tax breaks to businesses and their owners. These changes include the 20% qualified business income deduction, reduction of the corporate tax rate to 21% and very favorable expensing rules for purchases of equipment and other tangible property used for business.The Tax Act also has some not so favorable expense rule changes for business entertainment which, if you understand, you can avoid.
We will also discuss important changes to the taxation of individuals, trusts and estates, including changes to individual tax rates, Alternative Minimum Tax, itemized deductions and other items.
Please join our Tax Partner, Mario J. Fazio, in this one hour video on the highlights of the Tax Act and planning ideas for businesses to substantially lower taxes for 2018 and beyond.