2018 Tax Season Open and IRS Tax Refunds Being Processed (or Not)

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The IRS has officially announced that the 2018 Tax season is now open. This is in line with our earlier published schedule of key 2018 tax filing dates. April 17, 2018 is the tax deadline – excluding extensions and for non-resident filers. With more than 155 million returns to be filed this year (greater than 90% […]

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$1300 to $2600 Additional Standard Deduction for Seniors Over 65 under GOP/Trump Tax Reform

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As part of the GOP tax reform bill to support President Trump’s tax reform agenda there has a near doubling of the standard deductions that can be taken in 2018 and beyond. The offsets the elimination of the $4,050 personal exemption in 2018 (until 2025, unless extended by Congress then). The standard deduction from 2018 will be $12,000 for singles […]

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Obamacare Penalty or ACA Individual Mandate Repealed and Scrapped from 2019 – But Still Applies in 2017 and 2018

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While Congressional Republicans were unable to muster the required majorities to pass several versions of House and Senate health care replacement bills, they were able to include a provision to repeal the individual mandate (i.e. the Obamacare penalty) via successfully passing their GOP tax reform bill to support President Trump’s tax reform agenda. While the Obamacare penalty […]

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$500 Non-Child Dependent or Flexible Credit in Trump/GOP Tax Reform Bill

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The now passed GOP/Trump tax bill contains a little known but important $500 credit for non-child dependents – e.g elderly or disabled dependents or children over 17. This credit is to provide some relief to those families who will lose the now defunct personal exemption and are not eligible for the expanded Child Tax Credit (CTC). Both the CTC […]

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Losing the $4,050 Personal Exemption in 2018 But Doubling The Standard Deduction

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As part of the GOP tax reform bill to support President Trump’s tax reform agenda the Personal exemption is being fully eliminated in 2018. The $4,050 personal exemption in 2018 (which was unchanged from 2017) can be taken for yourself, your spouse, and your eligible dependents, will be scrapped. This could mean that single parents or families with […]

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Most Americans Will be Getting a Tax Cut and Larger Take Home Paychecks in 2018

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The latest GOP tax reform bill will affect most Americans when it comes to their 2018 taxes (filed in 2019). While everyone has their own unique financial and tax situations the answer to how the Trump/GOP tax changes will impact American tax payers are driven by these four main factors: How much you earn – your pay […]

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2018 State and Local Property Taxes (SALT) $10,000 Deduction Cap and Prepaying in 2017

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Under the new Trump/GOP tax reform bill for 2018 the deduction for Sate and Local taxes (SALT) related to property and sales taxes, on federal IRS tax returns is being limited to $10,000. Tax payers will still need to itemize for this deduction, but will have a cap of $10,000 versus today where there is […]

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Final House and Senate GOP Tax Reform Bill For Trump Tax Changes in 2018 and 2019

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House and Senate Republican (GOP) lawmakers have passed a reconciled/final bill for President Trumps Tax Reform measures under the Tax Cuts and Jobs Act. These proposals are aimed at building on Trump’s promises to streamline the US personal and corporate tax code. The plans promise tax savings in 2018 of nearly $1,500 to $2,500 for an […]

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2018 Tax Rate and Tax Brackets – Trump, House, Senate GOP vs IRS Tax Tables

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Given all the tax reforms being proposed under the Trump administration, many Americans are understandably wondering if they will be paying more or less in taxes next year. The answer is that if the GOP tax reform plans are passed, which are highly likely at this stage, then a lot of people will see lower tax […]

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IRS Tax Changes for 2018

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The IRS has released its 2018 tax updates via Notice 2017-64 and revenue procedure 2017-58. Highlights are provided below. Remember these updates are for 2018 taxes filed in 2019. For the upcoming 2017-18 tax year, I have included links (for filings due next year by April 17, 2018) where applicable. Personal Tax Brackets The standard deduction for married […]

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