Tax Planning Alert – Individual Tax Changes
On December 22, 2017, President Trump signed the Tax Cuts and Jobs Act into law, which makes a number of changes to the federal tax laws. The recently signed Tax Cuts and Jobs Act includes far-reaching changes for all United States taxpayers, including individuals, corporations, corporations with substantial international business, and small businesses.
Substantial changes for individuals include:
- Standard Deduction increased for single / married filers from $6,350 / $12,000 to $12,700 / $24,000
- Child Tax Credit increased from $1,000 to $2,000
- Personal exemption Eliminated (previously $4,050 per Taxpayer / Dependent)
In light of the changes to the tax laws, this is a good time to review your tax plan to determine whether changes are needed. Please note: The Tax Cuts and Jobs Act is over 1,000 pages long. We can provide only a short summary of a few highlights here. Other provisions of the Act may have a material impact on you.