Call for Artists, Making Money at Juried Art Fairs, Craft Shows and Festivals
I apologize that this is short and not thorough. I'm short on time, preparing for a show next week.
Anyway----New for 2018-
Different tax rates and brackets.
Increase in standard deduction, such as from $12,000 for MFJ to $24,000, and eliminating the mortgage deduction.
Elimination of personal exemptions.
Child care credit will be increased.
529 can be used for education other then college, such as private schooling.
As for businesses, there is proposal for taxes on 80% of business income, 20% is exempt. THIS IS NOT A LAW, JUST A PROPOSAL. There will be some formulas supposedly.
Nothing about removing business expense deductions, as was mentioned in a past post here, except some things like maybe you cannot write off your client's golf.
Penalty for not having Affordable Health Care will be removed, but not for 2018.
OK- I know I am leaving you all with lots of unanswered questions. I hope this isn't upsetting to anyone. The best that I could interpret, there is nothing bad or scary here.
A few other items such as better deduction- from 50% to 60% for charitable contributions, and medical expense deduction changed from 10% to 7.5%, which is better.
You may read the full current tax reform as well as the proposals. I suggest
PLEASE DO NOT make assumptions from this quick note I'm jotting. I just wanted to give everyone a head's up.
I realize that most of you do not do your own taxes, so you could also ask your preparer.
A question...how is the medical expense deduction going from 10% down to 7.5% better? I don't do my own taxes (probably because I don't understand things like this) but would still like to know because it didn't make sense to me.
Thanks ~ CC Barton
It is better because now your medical expenses only have to be 7.5% of your income ("income" defined separately), rather than a full 10%; this is in order for you to use these expenses as an itemized deduction.
Thanks for explaining it, Donna. Now I understand :-)