The IRS and the Social Security Administration have released 2021 inflation-adjusted figures for more than 50 tax provisions. In addition to a 1.3% cost-of-living adjustment (COLA) for Social Security beneficiaries, details about adjustments to tax rate schedules, exemptions, and various thresholds for deductions and credits were announced. The tax year 2021 adjustments generally are used on tax returns filed in 2022.

Topics: individual tax, tax planning, tax deductions, business tax, Taxes, cost-of-living, tax credit, Tax Cuts and Jobs Act, TCJA, Joanna Powell, COLA, AMT

Taxpayers are still feeling repercussions far and wide from the extensive changes to the tax code made by the 2017 law known as the Tax Cuts and Jobs Act (TCJA). Because the TCJA was passed so quickly, many of its nuances required clarification, and this year’s tax reform-related updates are certain to affect your company’s planning. While a fix for qualified improvement property is still in the works, the following provisions have received final and proposed regulations in 2019.

Topics: tax, Taxes, Tax Reform, Tax Cuts and Jobs Act, TCJA, Parul Bansal

Although 2020 is quickly approaching, it’s not too late to implement planning strategies that can help your business save on 2019 taxes. Before the year ends, make sure to assess strategic tax moves for your business that fully take advantage of the changes implemented by the tax reform law commonly known as the Tax Cuts and Jobs Act (TCJA). These tax planning strategies generally fall into three categories: recovering the cost of business property, dispositions of business property, and tax attributes and corporate issues.

Topics: tax, tax strategies, Taxes, Brad Jolie, Year End Taxes, Tax Cuts and Jobs Act, TCJA

The 2017 tax reform law ushered in new tax cuts, but it also did away with some common write-offs for business expenses. As companies and their tax advisors unpacked what is commonly known as the Tax Cuts and Jobs Act (TCJA), the elimination of two benefits in particular stuck out: deductibility of parking expenses and certain employer-provided food costs. Because these expenses are no longer deductible, they do not help to lower your year-end tax bill. The IRS is cognizant of taxpayer pleas for change and may be remodeling its approach so that taxpayers can find at least partial relief.

Topics: tax, Taxes, Brad Jolie, Tax Cuts and Jobs Act, TCJA, parking tax

The IRS released proposed regulations to provide taxpayers with guidance on applying a tax reform provision related to business interest expense deductions. The 2017 tax law commonly known as the Tax Cuts and Jobs Act (TCJA) set new limits on business interest expense deductions for most businesses, including C corporations and partnerships.

Topics: Claudia Mullen, Tax Reform, Tax Cuts and Jobs Act, TCJA, tax reform bill, Business Interest Expense Limitation, Section 163(j)

One of the most significant provisions of the tax reform law known as the Tax Cuts and Jobs Act (TCJA) has been Internal Revenue Code Section 199A. This new provision introduced the qualified business income (QBI) deduction, which allows pass-through entity owners to deduct up to 20 percent of their share of business income. The new law initially left pass-through entities and their tax preparers with many questions about how the QBI deduction would work. In August 2018, the IRS released proposed regulations that fleshed Section 199A and gave taxpayers substantial guidance about how it would impact their returns. The final version of these regulations was released on Jan. 18, 2019, which deviates only slightly from the proposed version – with a few key exceptions.

Topics: tax planning, Tax Cuts and Jobs Act, TCJA, Jeremy Sherman, Section 199A

The highly-anticipated second round of IRS guidance concerning tax benefits under the new Qualified Opportunity Zone (QOZ) program was published on April 17. It clarifies many of the terms established under previous proposed regulations and seeks comments on remaining questions. The newly proposed regulations address several operational and exit issues, including the criteria used to determine qualifying investments and requirements applicable to leased property used by a taxpayer within the QOZ program.

Topics: IRS, TCJA, Tax Reform Act, Tony Pisani, Qualified Opportunity Zone, QOZ, QOZ Fund

Qualifying C corporations have long offered tax benefits to their investors under Section 1202 of the Internal Revenue Code, but fluctuations in the benefit and the capital gains tax have limited its use. Tax reform under the law commonly known as the Tax Cuts and Jobs Act (TCJA) may make the Qualified Small Business Stock (QSBS) Exemption in Section 1202 benefit more widespread and appealing for small businesses. To take advantage of the QSBS Exemption, both businesses and their investors need to be aware of how it works, its potential limitations, and the planning opportunities available.

Topics: tax planning, Tax Cuts and Jobs Act, TCJA, C Corporation, Joanna Powell, Qualified Small Business Stock Exemption, Qualified Small Business Stock, QSBS

In October, the IRS released its proposed regulations interpreting Section 965, the provision in the Tax Cuts and Jobs Act (TCJA) that imposes a one-time “transition tax” to U.S. shareholders on the accumulated earnings and profits of certain U.S. owned foreign corporations. The transition tax is effected through a deemed repatriation mechanism. Not surprisingly, Section 965 continues to be a hot topic.

Topics: Tax Cuts and Jobs Act, TCJA, Barret Pinto, Section 965, cfc, transition tax

The IRS and the Social Security Administration have released 2019 inflation-adjusted figures for more than 50 tax provisions. In addition to a 2.8 percent cost-of-living adjustment (COLA) for Social Security beneficiaries, details about adjustments to tax rate schedules, exemptions, and various thresholds for deductions and credits were announced. The tax year 2019 adjustments generally are used on tax returns filed in 2020.

Topics: tax planning, year-end tax planning, IRS, Inflation-Adjusted, Tax Cuts and Jobs Act, TCJA, Social Security, 2019 tax planning, Joanna Powell