First Look at the Tax Cuts and Jobs Act
On November 2, 2017 the U.S. House of Representatives and House Ways and Means Committee issued a draft of its long-awaited tax reform legislation for individuals and businesses in the Tax Cuts and Jobs Act (HR 1). The goal of this 429-page Tax Act is to create tax cuts for the middle class and create economic and job growth.
Policy highlights include consolidation of individual tax brackets, larger standard deductions, reduced mortgage interest deductions and removal of the state and local tax deduction. In addition, the estate tax would be repealed over time and the corporate tax rate is permanently reduced. Unless specifically stated otherwise, the provisions would be effective for tax years beginning after December 31, 2017.