On November 16th, the House of Representatives passed its tax reform bill, followed by the passing on the Senate version of the tax bill. The Senate’s plan differs from the House bill on several key issues. Now, both chambers will then have to hammer out a compromise. President Trump would like to sign by year-end. Almost all of the changes will take effect after the tax year-ending December 31, 2017.
If passed, the Tax Cuts and Jobs Act would bring about some of the most substantial changes to the US tax system since 1986. Sweeping tax law changes are proposed in Corporate, Pass Through Entities, International, Compensation/Benefits, Individual, Estates/Trusts, and Tax-Exempt legislation. Currently, there is no way of knowing what the final bill will entail. bgr CPAs will continue to track updates as they unfold. We will provide you with key tax law changes when any legislation passes, as well as provide analysis and insights on how you could be impacted by this major tax reform. Based on the timing of the new legislation, there may be some last minute planning opportunities before the end of the year.
Based on what we currently know, the following highlights several key items for consideration in your year-end tax planning.
To learn more, or to discuss specific strategies, please contact us. We would be happy to meet with you.