Do you own commercial and/or residential rental property? If you do, the recent Tax Cuts and Jobs Act provides some extremely nice benefits for you. For starters, qualified businesses income from your rental creates a possible twenty-percent tax deduction… and without any effort on your part. Plus, if you want to earn taxable income, the new law gives you enhanced bonus … [Read more...]
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Tax reform punishes W-2 employees — Get even!
The Tax Cuts and Jobs Act that passed recently, created winners and losers. One big loser is the W-2 employee. Why? Because thanks to the new law, W-2 employees’ business expenses are no longer deductible! That’s right. W-2 employees get a zero deduction for legitimate expenses. Which has them shouting, “I’m mad as hell and I’m not taking it any more!” What can you … [Read more...]
New Section 199A Tax Reform Calculator for Your Use
Take the pain out of manually computing Section 199A benefits to use the Tax Reduction Letter’s Section 199A tax-reform calculator If you qualify, the new Tax Code Section 199A offers a 20% deduction on your qualified business income. But the mechanics of making the calculation can be difficult. You have to take into account the type of business structure you’re … [Read more...]
Should you switch your S to a C corporation?
Are you running an S corporation? Then you may be suffering from C corporation envy. Why? Because thanks to the 2018 Tax Cuts and Jobs Act, C corporations now only pay a flat 21% tax rate on corporate profits which looks pretty darn good. But remember, looks can be deceiving, and before you think about giving up on your S corporation, take a minute and read my new … [Read more...]
Tax Reform: Wow, New 20 Percent Deduction for Business Income
Here’s some really good news and it’s a big deal… Section 199A of the new tax code lets you claim a deduction against your IRS 1040 taxable income of up to 20% of your qualified business income. Yes. These new rules can really put big money in your pocket. Which is why I urge you to read my new article titled Tax Tips: Tax Reform: Wow, New 20 Percent Deduction for Business … [Read more...]