The Supreme Court ruled today that states can compel retailers to collect sales taxes even if they don’t have a physical presence in the state. This will have consumers paying more for the online purchases from retailers that currently do not collect sales taxes. This is a major change. We’ll see how Kentucky handles this; some states have a sales threshold amount that is reached before they will subject a …Read More
“It’s not over until it’s over?” – Comments by Paul Ryan last week indicate that Congress will probably delay fixing the glitches in the December 2017 Tax Act until much later in the year. They have identified a number of ambiguities in the law, and have asked the business community for input. There is also a proposal by Senate Democrats to roll back certain portions of the law, but that …Read More
There is a common misconception that there is a limit. There is no dollar limit on the amount that one person is allowed to give to another. Gift tax rules do not prohibit a donor from making gifts in excess of the annual exclusion ($15,000 for 2018). However, if more than the annual exclusion is given to any one recipient, there is a form that must be sent into the …Read More
The new Tax Act suspends the deduction for interest on home equity loans. Starting for 2018, a taxpayer may not claim a deduction for interest on home equity indebtedness. The suspension ends for tax years beginning after December 31, 2025.