If you’ve been reading much on social media about the new Tax Act, you might get the idea that this is the worst thing to ever happen unless you’re the 1% of the 1%.
This Tax Act doesn’t favor the rich over the poor or even the middle class. It favors the business owner or entrepreneur over the employee.
If you want to take advantage of the new Tax Act, shift from making your money as an employee to working for yourself.
Maybe you’ve heard that you can’t write off all of your property tax and state income tax on your federal tax return because you are limited to a max $10,000 write off. It’s true for Individuals, but businesses can.
Your property tax might not be a deduction for your personal home, but it’s still deductible for your rental property.
There are a couple of strategies right there on how you can keep those deductions.
You might have heard that you’re going to lose your miscellaneous deductions like employee job-related expenses, tax preparation cost and safe deposit box fees. You lost them, but your business didn’t.
If you already have a business, do you have the right business structure? If your income is over the threshold of $315K (married, filing jointly) or $157,500 (single), do you know what to do to get back the pass-through tax reduction? Is it time for a C Corporation? Is it time for a dual entity strategy?
Or how about your Sole Proprietorship? Do you realize that this “easy” tax structure is quite likely going to cost you an extra 35% in taxes? What can you do now to avoid that hit?
“Taxmaggedon 2018” over 75 tax strategies that are specifically focused on putting money in your pocket.
Look for this book March 2018!