On Thursday, November 2nd the House of Representatives released a draft of their tax reform legislation entitled ‘The Tax Cuts and Jobs Act’ as presented by the Ways and Means Chairman Kevin Brady (R-TX). This legislation represents the largest proposed transformation of the U.S. tax code in more than thirty years. While both changes are expected in the committee markup phase and the Senate will certainly bring its own priorities to the process, this release is the first bill text we’ve seen from a tax-writing committee. The goal of President Trump and the Republicans in Congress is to have a final tax bill enacted ideally before the Thanksgiving break, but certainly before the calendar year end of 2017. The subsequent synopsis will serve to highlight just some of the more significant provisions of this bill in its current form and its impact on both individuals and businesses.
Archive for Peter J. Scalise
On September 27th, President Trump and Republican leaders in Congress announced a new conceptual framework for tax reform which they optimistically hope to get enacted into law on or before December 31st of 2017. The proposed conceptual framework broadly describes significant tax law changes affecting both individuals and businesses alike ranging from lower tax rates for individuals and businesses to the repeal of many tax incentives – both deductions and credits. President Trump stated “it is now time for all members of Congress – Democrat, Republican, and Independent – to support pro-American tax reform. It’s time for Congress to provide a level playing field for our workers, to bring American companies back home, to attract new companies and businesses to our country, and to put more money into the pockets of everyday hardworking people.”
The Protecting Americans from Tax Hikes Act of 2015 (“PATH Act”) significantly enhanced the Research and Development Tax Credit Program (“RTCP”) on a myriad of levels by making the RTCP a permanent tax incentive within the Code and considerably restructured the program to: Read more
A properly designed and implemented Construction Tax Planning analysis will proactively identify additional tax savings related to new and / or planned construction projects. It should be duly noted that a Construction Tax Planning analysis should not be confused with a Cost Segregation analysis as there are several notable differences between a Cost Segregation analysis and a Construction Tax Planning analysis. Read more
Lights, Camera, Action and Tax Cut! The New York State Film Tax Credit Program Gets Extended Through 2022
Movie and Television Studios ecstatically praised Governor Andrew M. Cuomo and the Legislature for enacting the 2017 – 2018 New York State budget which includes the full extension of the New York State Film Tax Credit Program (“NYSFTCP”) through the year 2022. Since inception, the NYSFTCP has generated a tremendous economic incentive to bolster job growth while encouraging the development of additional infrastructure for both production and post-production facilities throughout New York.
On April 26, 2017 the White House released an overview of their tax reform proposal entitled The 2017 Tax Reform for Economic Growth and American Jobs: The Biggest Individual and Business Tax Cut in American History, which outlines President Donald J. Trump’s (hereinafter “President Trump”’) proposal for significant tax reform. While the proposal is largely consistent with President Trump’s conceptual framework during his presidential campaign pledges of dramatically reducing tax rates with the expectation of growing the economy and creating jobs within America much more deliberation needs to occur to properly examine and reconcile this proposal.
Lower Individual Effective Tax Rates, but Only for Select Individuals
The American Institute of Certified Public Accountants (hereinafter “AICPA”) has requested the Department of the Treasury and the Internal Revenue Service (hereinafter the “Service”) to issue some form of immediate administrative authority governing the enhanced R&D Tax Credit Program (hereinafter “RTCP”) in connection to qualifying Small Businesses and qualifying Start-Up Companies to accurately calculate the R&D Tax Credit from a quantitative perspective effective for tax years beginning on or after January 1, 2016.
The Internal Revenue Service (hereinafter the “Service”) recently issued IRS Notice 2017-6 in connection to Tangible Property Regulations Compliance (hereinafter “TPR Compliance” or “Regulations”) that extended a specific eligibility provision for taxpayers making an automatic change of accounting method providing an opportunity to continue to take advantage of the Regulations on their 2016 tax returns.
2017 AICPA Real Estate & Construction Conference
Save The Date: December 7th – December 9th, Las Vegas, NV
Join Peter J. Scalise, the Federal Tax Credits & Incentives Practice Leader for Prager Metis CPAs, at the upcoming AICPA Real Estate & Construction Conference at the Wynn in Las Vegas, NV on Wednesday, December 7th between 4:00PM and 6:00PM for the Construction Tax Planning Panel Discussion.