News

                                                                                                          (updated 1/5/2018)

Filing Season Begins 1/29/2018:

The IRS will begin accepting both e-filed & paper-filed returns on 1/29/2018, although paper returns will not be processed until mid-February as system updates continue.  The IRS said that it expects to issue more than 90 percent of refunds in less than three weeks, but it legally cannot issue refunds claiming the Earned Income Tax Credit and the Additional Child Tax Credit before mid-February.

 

H.R.1 - An Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018 (formerly titled "Tax Cuts and Jobs Act of 2017")

Passed on 12/22/17, the afore-stated Act passed both the House & the Senate & became "Public Law No: 115-97".  There will still be technical adjustments needed before actually implementing the bill due to  contradictions or errors within the law. The law goes into effect for the tax years beginning after 2017.

Some of the more generally applicable changes to Individual tax returns are listed here

Some of the more generally applicable changes to Business tax returns are listed here



Due Date Changes for C Corporations & Partnerships Beginning 2017 Tax Season (for 2016 Returns)

H.R. 3236 was signed into law on 7/31/2015 (& revised on 2/8/17 by the IRS), modifying the due dates for the annual tax returns for Partnerships & C Corporations in order to make the information flow among the various returns more logical.

For tax years beginning after 12/31/2015, Partnerships will be due on the 15th day of the 3rd month (or March 15 for calendar years).  Likewise, C Corporations will be due on the 15th day of the 4th month (or April 15 for calendar years).  Both will have maximum 6-month extensions available.

Exceptions to C Corps:
  • Calendar year C Corps will only have 5 month extensions available until tax years beginning after 12/31/2025. (Revised 2/8/2017 by the IRS: Calendar Year C Corps allowed 6 month extension)
  • C Corps with 6/30 year-ends will have 7 month extensions available until tax years beginning after 12/31/2025.
  • These new due dates do not apply to C-Corps with 6/30 year-ends until tax years beginning after 12/31/2025.

 


Tax Extenders Bill Passed by Congress:

On 12/15/15, Congress made certain credits permanent and extended others for 2 or 5 years.  The following were made permanent:
  • Enhanced child tax credit 
  • Enhanced American opportunity tax credit
  • Enhanced earned income tax credit
  • Deduction for certain expenses of elementary & secondary school teachers
  • Deduction of State and local general sales taxes
  • Increased expensing limitations and treatment of certain real property as section 179 property
The following were extended through 2019:
  • Work opportunity tax credit
  • Bonus depreciation (phaseout: 50% in 2017; 40% in 2018; 30% in 2019)
The following were extended through 2016 (unless Congress acts to extend these further, these will not be available for 2017 or future tax years):
  • Exclusion from gross income of discharge of qualified principal residence indebtedness
  • Mortgage insurance premiums treated as qualified residence interest
  • Above-the-line deduction for qualified tuition and related expenses

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