Will One of Trump’s Top Tax Breaks Get the Axe?

shutterstock_628599701

As the new president and his administration continue to tout their big plans for a major tax overhaul in the U.S., it remains to be seen if the proposals will get passed in the House and Senate. While both branches of government are all for tax code reform, there are still differences that must be overcome. For example, House Republicans are currently weighing the possibility of killing one of President Trumps’ personal favorite tax deductions.

This tax provision has been around for hundreds of years and it has been a huge boost to the president’s real estate fortune. However, it could become one of the biggest tax fights in Washington in the coming months. According to reports, in order to offset the proposed reduction in the nation’s corporate tax rate, the House would like to use the $1 trillion that would be raised by ending a deduction for businesses’ interest expenses.

While doing so would help fund the government and its programs, there are several industries that are already clamoring for the deduction to be retained as is, including private equity companies, real estate moguls, and even farmers – all of which claim that they have to borrow money in order to operate. They fear huge tax increases if the deduction is removed.

So far, Republicans are divided on the issue, while the president himself has long supported the deduction for obvious reasons. His Treasury Secretary has said that they prefer to keep it in place but that all options are still open. Stay tuned, because this could end up being a big fight in the nation’s capitol.

Posted in
Why You Should File Your 2019 Tax Returns ASAP!

Why You Should File Your 2019 Tax Returns ASAP!

Why You Should File Your 2019 Tax Returns ASAP?  Many individuals, couples, and businesses are putting off filing their 2019 tax returns because; they can.  Others, because they qualify for stimulus checks in 2018 but not 2019; it’s not 100% clear yet that this is a good idea.  Either way, April 15th and many other…

The Biden Administration Corporate Tax Proposal

COVID – 19 Relief Status Update 04.06.20

‘Phase 4’ stimulus wish lists floated

https://ne…

The Biden Administration Corporate Tax Proposal

Corona Virus Relief (CARES ACT)

Today we’re talking all about the Corona Virus Re…

Economic Impact Payments: What you need to know?

No action needed by most people at this time! IR-2020-61, March 30, 2020 WASHINGTON — The Treasury Department and the Internal Revenue Service today announced that distribution of economic impact payments will begin in the next three weeks and will be distributed automatically, with no action required for most people. However, some seniors and others…