October 20, 2017
by Randell W. Martin, CPA
“Well I think they should and I think they will,” replied Trump, when asked if lawmakers should remain in Washington if tax reform isn’t passed by Thanksgiving, in an interview with Maria Bartiromo from Fox Business Network.
Everyday I’m asked about the current Washington DC hot topic of Tax Reform. All Americans are interested in knowing how this will affect them and their single largest expense—their taxes. It is very likely that some type of tax reform legislation will pass. For the Republicans in Congress, failure is not an option. After really dropping the ball in their attempt to repeal Obamacare, they really must get tax reform delivered. However with only 30 legislative days left in the year for the Senate, reaching a deal in 2017 for both houses is not likely.
It is probably too late for anything to change our 2017 taxes anyway. Even though the Treasury secretary has hinted of such change, their likelihood is very unlikely. So the most likely effective date the tax changes will be January 1, 2018 with a possible exception being a proposal allowing firms to fully expense purchases of some depreciable assets.
The home mortgage interest, property tax, and charitable contribution deductions appear to be safe for the meantime.
More to come on this subject as we approach the deadlines.