Tax Cuts and Jobs Act: key provisions affecting nonprofits

| 2017 Tax Reform Updates

By Rob Brinkers     After many months of deliberation, on Dec. 20, Congress completed passage of the largest federal tax reform law in more than 30 years. Commonly called the “Tax Cuts and Jobs Act” (TCJA), the new law means substantial changes for nonprofit organizations. Despite the bill’s nearly 1100 pages, below is a brief overview of some of the most significant provisions impacting nonprofits. Except where noted, these changes are effective for tax years beginning after Dec. 31, Read more [...]

The New treatment of alimony under the 2017 Tax Reform Law

| 2017 Tax Reform Updates, Tax Briefs

The Tax Cuts and Jobs Act (the Act) has made changes to the tax treatment of alimony.  These changes take effect for divorce agreements and legal separation agreements executed after 2018. Current rules Under the current rules, an individual who pays alimony or separate maintenance may deduct an amount equal to the alimony or separate maintenance payments paid during the year as an "above-the-line" deduction. (An "above-the-line" deduction, i.e., a deduction that a taxpayer need not itemize Read more [...]

Tax Cuts and Jobs Act: Key provisions affecting businesses

| 2017 Tax Reform Updates, Business Miscellaneous, Tax Briefs

On December 20, Congress completed passage of the largest federal tax reform law in more than 30 years. Commonly called the “Tax Cuts and Jobs Act” (TCJA), the new law means substantial changes for business taxpayers. The following is a brief overview of some of the most significant provisions. C-Corporate Tax Rates Reduced - For tax years beginning after Dec. 31, 2017, the corporate tax rate is a flat 21% rate. Dividends-Received Deduction Percentages Reduced - For tax years beginning Read more [...]

Tax Cuts and Jobs Act Changes the Home Mortgage and Equity Loan Interest Deduction

| 2017 Tax Reform Updates, Tax Briefs

The rules for how taxpayers deduct home mortgage and home equity lines of credit interest have changed under the new tax Act starting in 2018. The pre-Act rules for mortgage interest deductions allowed married filing joint taxpayers to deduct interest on mortgage debt up to $1 million used for a primary residence and a second home. The limit was $500,000 for a married filing separate taxpayer. Married filing joint taxpayers were also able to deduct qualifying home equity debt limited to the lesser Read more [...]

2017 Tax Reform Last Minute Strategies

| 2017 Tax Reform Updates, Business Briefs, Tax Briefs

Congress has enacted the biggest tax reform law in thirty years, one that will make fundamental changes in the way you, your family and your business calculate your federal income tax bill, and the amount of federal tax you will pay. Since most of the changes will go into effect next year, there's still a narrow window of time before year-end to soften or avoid the impact of crackdowns and to best position yourself for the tax breaks that may be heading your way. Here's a quick rundown of last-minute Read more [...]

Tax Cuts and Jobs Act: Key provisions affecting individuals

| 2017 Tax Reform Updates, Tax Briefs

On December 20, Congress completed passage of the largest federal tax reform law in more than 30 years. Commonly called the “Tax Cuts and Jobs Act” (TCJA), the new law means substantial changes for individual taxpayers. The following is a brief overview of some of the most significant provisions. Except where noted, these changes are effective for tax years beginning after December 31, 2017, and before January 1, 2026. Drops of individual income tax rates ranging from 0 to 4 percentage Read more [...]