Trump Administration Proposes Sweeping Tax Cuts
After months of promises, a brutally combative campaign and election, and the first 100 days in office, President Donald Trump and his administration have released their tax plan, which promises to include “the biggest tax cut” in the history of our country, according to Treasury Secretary Steven Mnuchin and National Economic Council Director, Gary Cohn.
While the proposal does make big promises it did not include many specific details. For example, although the administration is promising to decrease the number of tax brackets to three, it did not reveal the planned income levels of those brackets. The plan also promises to change personal tax rates and eliminate many of the deductions that the nation’s wealthiest individuals use, but it was light on details.
On the other hand, some details were revealed, including the plan to greatly reduce corporate tax rate from the current level of 35 percent to just 15 percent. The plan also calls for allowing a pass-through rate for business owners, which would allow self-employed individuals to be taxed at the corporate tax rate instead of the personal income tax rate.
Meanwhile, even though the income levels for the three proposed tax brackets were not revealed the tax rates were: 35 percent, 25 percent and 10 percent. Some of the other significant proposals include:
- The elimination of the estate tax
- A one-time repatriation tax
- Standard individual tax deduction being doubled
- All itemized tax deductions being eliminated except mortgage payments and charitable donations
- Repeal the Net investment income tax of 3.8 percent
- Eliminate the alternative minimum tax
- Eliminate state and local tax deduction
http://www.businessinsider.com/trump-tax-reform-cut-plan-proposal-2017-4
http://thehill.com/policy/finance/330696-trump-proposes-sweeping-tax-reform
Stock Basis Reporting on Form 1099-B in 2011
Stock Basis Reporting on Form 1099-B in 2011 By Ron Cohen, CPA, MST Partner Greenstein, Rogoff, Olsen & Co., LLP See the new Form 1099-B for 2011 that requires “cost basis” information. Form 1099-B 2011 In the past, the client’s sometimes don’t know or can’t find their cost basis in stocks they have sold. Major…
Bond Risks and How Bond Funds Deal With Them
Bond Risks and How Bond Funds Deal With Them A bond is a promise. In return for the money lent to a corporate or governmental borrower, the borrower pledges to make periodic payments of interest at a fixed rate and to repay the original loan after a set period of time. Both the date at…
Meeting the Challenge of College Costs
Meeting the Challenge of College Costs Your child has entered high school and is just four years away from college. It’s time to get serious about figuring out how much it’s going to cost. Based on recent data from the College Board, if he or she goes to a private four-year university, the cost for…
What’s the Real Motivation Behind Keurig Moving Coffee Business From U.S.?
What’s the Real Motivation Behind Keurig Moving Coffee Business From U.S.? By Alan Olsen Just about any large American company that does business outside of the U.S. finds ways to save money on its tax bill. That is due, in large part, to the fact that the U.S. corporate tax rate is a whopping 35…