Will prepaying your 2018 taxes offset the new tax code?

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The expansion of the standard deduction - which will almost double to $24,000 for a married couple filing a joint return - will remove the need for thousands of taxpayers to itemize deductions to get the most out of tax breaks, and that might mean fewer people will use the charitable gift deduction on their tax returns.

He noted that while the City Assessor's office does not normally make local property tax bills available for payment until January 15, he has been authorized to do so for the sake of letting taxpayers prepay before 2018.

The only way to boost sales tax-related deductions in 2017 is to buy goods and services subject to the tax earlier than you otherwise would have. Thuronyi says you can also try to prepay your state income taxes.

"It's up to each and every taxpayer to make a decision on how comfortable they feel, paying real estate taxes in advance".

For more information, visit the Shasta County Tax Collector website. "Ultimately, it will be up to the IRS to determine if the prepayment of 2018 property taxes are deductible for the 2017 tax year".

Keep in mind: state and local taxes can be added back under alternative minimum tax (AMT) for individuals; however, receiving any deductions is better than losing them altogether next year.

At present, there is no limit on the deduction, but that will change under the new tax laws.

The individual income tax is what makes numerous benefits and programs provided by the federal government possible, but having the rate set too high can have serious consequences on the financial situation of individuals and their families, as well as overall economic growth.

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Tax collectors in many states are seeing a surge in property tax prepayments before 2018 in an effort to cash in - for one previous year - on a deduction that the coming tax overhaul will limit. But that deduction is going away entirely in 2018. That's not going away, but it's still more valuable in 2017 than next year.

"Bills for that year will not be prepared until September 2018", Levy said in an advisory message.

If you're like most Americans, you're a few years (or more) behind on your retirement savings.

"Those who itemize this year might want to donate a little more to charity this year, and those who were waiting, for example, to write a check to their church in the new year might want to do it now", she said.

Other deductions have been repealed as well, such as alimony, tax-preparation fees and casualty losses.

As I went through the numbers with this couple, they told me this was the last push they needed to leave the state. "I really believe people give because they want to".

- Fifth, delay income until 2018 (if possible). In addition to lower tax rates, small business owners get a generous benefit starting next year of being able to deduct 20 percent of their business income tax-free. Of those, $1,592,000 were declared by tax filers with less than $75,000 in Adjusted Gross Income.

"They are just wanting to prepare themselves for this new legislation that is coming into effect", Scott said of the calls. But in the final bill that went to Trump's desk, there are no changes to the student loan interest deduction, the extraordinary medical expense deduction, the teacher classroom supply credit, the electronic vehicle credit, the tuition waiver for graduate students and the capital gains rules on selling your home. Since a national income tax began more than 100 years ago, people have been allowed to deduct from their income the amount they've paid for state and local taxes.

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