Please do not leave this page until complete. This can take a few moments.
10) Deduction of home mortgage interest. For home mortgages taken after Dec. 15, you can only deduct mortgage interest on the first $750,000 if married and home equity interest is no longer deductible unless to improve your property.
9) State and local taxes. With 2018 tax returns, deductions for state taxes paid, state tax withholding, real estate taxes, excise taxes and sales taxes all combined, are limited to $10,000 if married.
8) Alimony. For any divorce executed after Dec. 31, 2018, alimony is no longer a deduction and is tax free to the recipient.
7) Standard deductions and personal exemptions. The standard deduction has doubled to $24,000 if filing married, and all personal exemption deductions have been repealed.
6) Miscellaneous deductions. You can no longer deduct unreimbursed expenses from work, your accounting fee for preparing your returns, nor your investment fees, nor safe deposit box fees.
5) Alternative Minimum Taxes. Repealed for corporations but for individuals, the exemption rose quite a bit to now equal $109,400 for married couples.
4) C-Corporations. They no longer have graduated rates. It is a flat 21 percent.
3) Flow through entities (sole proprietorships, partnerships, S-Corporations, LLP's and LLC's) now get a deduction of 20 percent of their profit or 20 percent of the individual person's taxable income, whichever is less, unless your taxable income is more than $157,500 single/$315,000 married, then an additional limitation of 50 percent of the company wages is activated.
2) Professional services such as doctors, lawyers, accountants and a whole list of others get another limitation to No. 3 above. The deduction starts to phase out $315,000 married and is gone by $415,000 married for taxable income.
1) Yes, the law is much more complicated than it was before.
Stay connected! Every business day, WBJ Daily Report will be delivered to your inbox by noon. It provides a daily update of the area’s most important business news.
Sign upWorcester Business Journal provides the top coverage of news, trends, data, politics and personalities of the Central Mass business community. Get the news and information you need from the award-winning writers at WBJ. Don’t miss out - subscribe today.
SubscribeWorcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
See Digital EditionStay connected! Every business day, WBJ Daily Report will be delivered to your inbox by noon. It provides a daily update of the area’s most important business news.
Worcester Business Journal provides the top coverage of news, trends, data, politics and personalities of the Central Mass business community. Get the news and information you need from the award-winning writers at WBJ. Don’t miss out - subscribe today.
Worcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
This website uses cookies to ensure you get the best experience on our website. Our privacy policy
To ensure the best experience on our website, articles cannot be read without allowing cookies. Please allow cookies to continue reading. Our privacy policy
0 Comments