Senate passes bill that exempts tips from tax

On May 20, a bipartisan bill passed unanimously in the U.S. Senate that would exempt tips from federal income tax. The No Tax on Tips Act was introduced by Sen. Ted Cruz (R-TX) and co-sponsored by Sen. Jacky Rosen (D-NV). If enacted, it would create a deduction of up to $25,000 a year for certain […]

The House has passed a sweeping tax and spending bill

On May 22, the U.S. House passed the sweeping tax and spending bill by a vote of 215 to 214. The One, Big, Beautiful Bill now goes to the U.S. Senate, which is likely to make changes. It includes extensions of many provisions set to expire Dec. 31, along with some new and enhanced tax […]

Tax on Social Security

As debate among House Republicans continues, the campaign promise to end tax on Social Security benefits isn’t included in the current version of “The One, Big, Beautiful Bill.” However, seniors haven’t been forgotten. There’s a proposed provision for an enhanced deduction of $4,000 for eligible filers age 65 or older. To be eligible, modified adjusted […]

New Energy Efficient Home (45L) Credit may be terminated

Heads up if your construction business builds homes: The tax bill working its way through Congress terminates the New Energy Efficient Home (45L) Credit. The credit is designed to incentivize builders to construct energy-efficient single- and multifamily homes. Currently, eligible contractors that build or substantially remodel homes can claim federal tax credits of up to […]

SALT tax

Even though the U.S. House Ways and Means Committee has approved a $3.8 trillion budget reconciliation bill, unresolved issues remain. Legislators who comprise the so-called SALT caucus, including Republicans from New York and California, aim to either raise or eliminate the current $10,000 cap on deducting state and local taxes. Some of these lawmakers claim […]

MAGA Accounts in the Trump Tax Bill

On May 14, the House Ways and Means Committee voted to advance “The One, Big, Beautiful Bill,” which contains President Trump’s tax priorities. One provision in the bill is a new savings option for children under age 8. If enacted, the tax-advantaged vehicles will be called Money Accounts for Growth and Advancement (MAGA). Eligible children […]

Draft Bill released

The U.S. House tax-writing committee released a draft bill on May 12 that increases the state and local tax (SALT) cap. Currently, there’s a $10,000 limit on the SALT deduction. The proposed bill raises it to $30,000 for taxpayers with incomes of $400,000 or less. Also included in the draft bill: increasing the Child Tax […]

State Implications of the One, Big, Beautiful Bill

State Implications of the One, Big, Beautiful Bill https://bit.ly/43QDG1Z

Trump’s “one big, beautiful bill”

House Republicans continue to hash out the details of President Trump’s “one big, beautiful bill.” The bill Republicans hope to pass by Memorial Day would extend many provisions in the Tax Cuts and Jobs Act. It would also contain border, energy and defense policies and create new tax breaks promised by Trump on the campaign […]

A Breakthrough is US-China tariff dispute

There’s been a breakthrough in the U.S.-China tariff dispute. The two countries have announced a temporary, substantial reduction of reciprocal tariffs. The new measure will be in effect for 90 days. Specifically, the U.S. will cut tariffs on Chinese imports from 145% to 30% and China will ease tariffs on U.S. imports from 125% to […]