Weekly Tax Brief

Get started on 2018 tax planning now!

Details: Published: 22 May 2018 22 May 2018

With the April 17 individual income tax filing deadline behind you (or with your 2017 tax return on the back burner if you filed for an extension), you may be hoping to not think about taxes for the next several months. But for maximum tax savings, now is the time to start tax planning for 2018. It’s especially critical to get an early start this year because the Tax Cuts and Jobs Act has substantially changed the tax environment. We can help you determine how the new law affects you and what strategies you should implement to minimize your tax liability.

Families with college students may save tax on their 2017 returns with one of these breaks

Details: Published: 15 May 2018 15 May 2018

The recently passed Bipartisan Budget Act of 2018 included an extension of the tuition and fees deduction. This is one of a few higher education tax breaks families with college or grad students may be able to claim on their 2017 returns. There’s also the American Opportunity credit and the Lifetime Learning credit. In most cases you can take only one break per student, and, for some breaks, only one per tax return. Other rules and limits also apply. To learn which break(s) will provide you the greatest savings on your 2017 tax return, contact us.

TCJA temporarily lowers medical expense deduction threshold

Details: Published: 08 May 2018 08 May 2018

With rising health care costs, claiming whatever tax breaks related to health care that you can is more important than ever. But there’s a threshold for deducting medical expenses that may be hard to meet. Fortunately, the Tax Cuts and Jobs Act (TCJA) has temporarily reduced the threshold.

State and local sales tax deduction remains, but subject to a new limit

Details: Published: 30 January 2018 30 January 2018

Individual taxpayers who itemize their deductions can deduct either state and local income taxes or state and local sales taxes. The ability to deduct state and local taxes — including income or sales taxes, as well as property taxes — had been on the tax reform chopping block, but it ultimately survived. However, for 2018 through 2025, the Tax Cuts and Jobs Act imposes a new limit on the state and local tax deduction. Will you benefit from the sales tax deduction on your 2017 or 2018 tax return?

Can you deduct home office expenses?

Details: Published: 23 January 2018 23 January 2018

Working from home has become commonplace. But just because you have a home office space doesn’t mean you can deduct expenses associated with it. And for 2018, even fewer taxpayers will be eligible for a home office deduction.

Don’t be a victim of tax identity theft: File your 2017 return early

Details: Published: 15 January 2018 15 January 2018

The IRS has just announced that it will begin accepting 2017 income tax returns on January 29. You may be more concerned about the April 17 filing deadline, or even the extended deadline of October 15 (if you file for an extension by April 17). After all, why go through the hassle of filing your return earlier than you have to?

Most individual tax rates go down under the TCJA

Details: Published: 02 January 2018 02 January 2018

The Tax Cuts and Jobs Act (TCJA) generally reduces individual tax rates for 2018 through 2025. It maintains seven individual income tax brackets but reduces the rates for all brackets except 10% and 35%, which remain the same.

401(k) retirement plan contribution limit increases for 2018; most other limits are stagnant

Details: Published: 19 December 2017 19 December 2017

Retirement plan contribution limits are indexed for inflation, but with inflation remaining low, most of the limits remain unchanged for 2018. But one piece of good news for taxpayers who’re already maxing out their contributions is that the 401(k) limit has gone up by $500. The only other limit that has increased from the 2017 level is for contributions to defined contribution plans, which has gone up by $1,000.

What you need to know about year-end charitable giving in 2017

Details: Published: 14 December 2017 14 December 2017

Charitable giving can be a powerful tax-saving strategy: Donations to qualified charities are generally fully deductible, and you have complete control over when and how much you give. Here are some important considerations to keep in mind this year to ensure you receive the tax benefits you desire.

7 last-minute tax-saving tips

Details: Published: 06 December 2017 06 December 2017

The year is quickly drawing to a close, but there’s still time to take steps to reduce your 2017 tax liability — you just must act by December 31:

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