Welcome to our Tax Reform Resource Center.
We are keeping an ear to the ground so that when updates and regulations occur surrounding the Tax Cuts and Jobs Act, you will know first. Check back here and follow us on social media to receive breaking news as it occurs.
Have questions about how the legislation affects your personal and business tax planning? Contact your local Blue & Co. tax advisor.
Do you reimburse your employees for business travel expenses? If you don’t, you may want to consider implementing a reimbursement plan, because changes under the Tax Cuts and Jobs Act (TCJA) make these reimbursements even more attractive to employees. Many businesses who do reimburse for business travel expenses find that it helps attract and retain […]
Assuming you’re charitably inclined and you collect art, appreciated artwork can make one of the best charitable donations from a tax perspective. Donating appreciated property has two benefits, first, a valuable tax deduction and second, you can avoid the capital gains taxes you would owe if you sold the property. The second benefit is amplified […]
The Child Tax Credit was introduced in 1997 under the Taxpayer Relief Act. The credit has gone through many changes over the past 20 years, starting out as a $400 nonrefundable credit and increasing all the way up to $1,000 per qualifying child under the age of 17. Now the tax credit under the Tax […]
Tax Reform 2.0 is making its way through Congress. On September 13, the House Ways and Means Committee passed three separate bills that focus on making several provisions of the Tax Cuts and Jobs Act (TCJA) permanent. The provisions affect individuals, families, and small businesses. The bills also promote family and retirement savings and new […]
If you own a vacation home that you both rent out and use personally, you might save tax by taking steps to ensure it qualifies as a rental property this year. Vacation home expenses that qualify as rental property expenses are not subject to the Tax Cuts and Jobs Act’s (TCJA’s) new limit on the […]
The Tax Cuts and Jobs Act (TCJA) opened up the eligibility guidelines for using the cash method of accounting, making the cash method available to more businesses than was previously allowed. The IRS has provided procedures a small business taxpayer can use to obtain automatic consent to change its method of accounting under the TCJA. […]
The Tax Cuts and Jobs Act made many changes to the meals and entertainment deduction. The largest change is that entertainment is no longer deductible. Below is a summary of what will and what will not qualify for deduction: Entertaining Clients: Meals will continue to be 50% deductible as long as they are not considered […]
With the passing of the Tax Cuts and Jobs Act (TCJA) in late 2017, many businesses, business owners, and their advisors are evaluating a variety of topics such as the qualified business income deduction, optimal accounting method for taxation, entity structure, and more favorable fixed asset expensing. However, expense reimbursement policies may be something your […]
For tax years beginning in 2018 and beyond, the Tax Cuts and Jobs Act (TCJA) creates a flat 21% federal income tax rate for C corporations. Under prior law, C corporations were taxed at rates as high as 35%. The TCJA also reduces individual income tax rates, which apply to sole proprietorships and pass-through entities, […]
Provisions in the Tax Cuts and Jobs Act (TCJA), passed late in December 2017, eliminated the deductibility of qualified transportation expenses incurred by business employers. After December 31, 2017, amounts paid or incurred for qualified transportation fringe benefit or parking facilities used in connection with qualified parking will no longer be deductible business expenses. This […]
What is the excess business loss limitation under code section 461 (I)? In its simplest form, it is a fourth disallowance provision behind the three that we already have in order for a taxpayer to deduct business losses: Tax basis At-risk basis Passive activity rules If those three are met, all of your business income […]
By Miranda Aavatsmark It’s 11:00 p.m. on New Year’s Eve, 2017 and I’m ready for a relaxing evening. My day started with checking my email and fretting that something was left undone after having had a frantic Friday at the office. We worked diligently sending last minute estimate vouchers to clients, before the UofL vs. […]
If you received a large refund after filing your 2017 income tax return, you’re probably enjoying the influx of cash. But a large refund isn’t necessarily all positive. It also means you were essentially giving the government an interest-free loan. That’s why a large refund for the previous tax year would usually indicate that you […]
Now is the time to start tax planning for 2018 for maximum tax savings. It’s especially critical to get an early start this year because the Tax Cuts and Jobs Act (TCJA) has substantially changed the tax environment. Many Variables A tremendous number of variables affect your overall tax liability for the year. Looking at […]
Normally when appreciated business assets such as real estate are sold, tax is owed on the appreciation. But there’s a way to defer this tax: a Section 1031 “like-kind” exchange. What is a like-kind exchange? Section 1031 of the Internal Revenue Code allows you to defer gains on real or personal property used in a […]