Since the signing of the new tax law, the Tax Cuts and Jobs Act (TCJA), the news has been flooded with what it claims to be the biggest tax code revision in more than three decades. The tax bill, which was signed into law last December by President Trump, became effective January 1, 2018, and will continue through the end of 2025. The revision will affect both business owners and individuals.
The biggest question for most is “Will my taxes increase or decrease next year, and by how much?” As most tax professionals would attest, everyone’s situation is unique and requires specific attention. While one size may not fit all, we’ll take a look at some of the biggest changes garnering the spotlight and those likely to affect most Americans. We’ll steer clear of technical and tax code jargon to keep things simple. Consult a tax professional for specific information concerning your circumstances. The information listed below is provided to make you aware of these changes and offer a better understanding.
Mortgage Interest Deduction
Home Equity Debt Not Deductible
New Nonrefundable Credit & Increased Child Tax Credit
Standard Deduction Increases
Elimination of Personal Exemptions