Dear Friends,
As many of you know the Congress is set to pass the Tax Cuts & Jobs Act (the “Act”). FGMC has been tracking this legislation and previously released our analysis of some key provisions of the original House of Representatives and Senate versions of this legislation. Both the House and Senate have now come together on the resulting legislation, and it is expected to pass both houses and obtain the President’s signature this week.
The bill itself, along with the explanatory statement prepared by the conference committee exceeds 1,000 pages. In other words, we are still digesting much of this information that was only released to the public on Friday, and we will likely will continue to analyze this piece of legislation in the coming weeks. We anticipate providing more detailed analyses of certain aspects of the Tax Cuts & Jobs Act in the future.
Many changes in the law that are applicable to individual taxpayers expire for tax years after December 31, 2025. Most changes to corporate tax laws do not expire. In general, we have tried to provide you with both the effective date of most changes in the law (generally, tax years after December 31, 2017) and the expiration date of these changes, after which we will revert back to tax laws that exist today (at least, before enactment of the Act).
This analysis is only intended as a summary of those provisions likely to affect most of our clients. It is not intended to be a comprehensive review of the entire piece of legislation. If we’ve missed an aspect of the tax plan you would like more information about, please feel free to contact me and we’ll do our best to respond to as many inquiries as we can. Our summary is lengthy, but I encourage you to at least scan the headings of each section. I’m sure you will find some aspects of the Act you will be interested in.
As in our prior letters we have not endeavored to quantify how much certain classes of Americans will save under the Act (e.g., a family of four earning x amount of dollars) since this requires consideration of a myriad of assumptions and cases.
Feel free to contact me with any questions, or if you would like my take on any of the inevitable political spin either in favor or against this legislation.
Sincerely,
Steven M. Weiser, Esq.
Click here to read the complete summary.