Sunday, February 4, 2018

สรุปการเปลี่ยนแปลงข้อกฏหมายว่าด้วยภาษีเงินได้ ปี 2018

2018 Tax Information

The President has signed the biggest tax reform law in over 30 years.
When you file 2018 tax returns next year, your tax return will look
different, and because most changes do not happen until then,
we have some time to learn and plan for next year. Here are a few
of the biggest changes that may affect you.

Tax rate changes:  Both individual and corporate rates have changed.
The maximum individual rate is reduced to 37% and the corporate rate
is now a flat 21%.  The rate change could benefit you, or in some cases,
cause your tax liability to go up.

Itemized vs Standard deduction:  The standard deduction for most
taxpayers has increased dramatically. However, the personal exemption
deduction has been eliminated. So this may help you or hurt you.
If you have itemized your deductions in prior years, it may or may
not be beneficial to itemize in 2018 and beyond.

Increased Child Tax Credit and new Dependent Credit:  The credit
is increased for each child to $2,000 (up to $1,400 of which is refundable
for each child) and each non-child dependent can now receive a new
credit of $500. However, you will have no exemption credit or deduction
for yourself, your spouse, or your dependents.

The phaseout thresholds for these credits are drastically increased. 
Married taxpayers filing a joint return can claim the full credits of their
adjusted gross income is $400,000 or less ($200,000 for all others).
This means many taxpayers will be able to claim these credits in 2018
and beyond.

Disappearing deductions:  Beginning with the 2018 tax year, you will
no longer be able to deduct:

  • State income tax and property taxes above $10,000 per year in total;
  • Moving expenses (with exception for certain military);
  • Employee business expenses such as mileage, travel, entertainment, home office expenses, union dues, tax preparation fees, and investment fees, among others;
  • Mortgage interest beyond interest on $750,000 of acquisition debt, if you purchase a new home; and
  • Mortgage interest paid on equity debt (this is no longer deductible for any taxpayers).

Some new benefits for individuals:  These new benefits include:

  • The medical expenses AGI threshold will temporarily drop to 7.5% of AGI for 2017 and 2018;
  • The AMT threshold is increased, so fewer middle-income taxpayers will be subject to AMT;
  • The estate tax exclusion has nearly doubled, to $10 million (adjusted for inflation); and
  • The annual gift tax exclusion remains the same ($14,000 for 2017 and $15,000 for 2018), but the maximum rate on gifts is 35%. 

Small business benefit:  Beginning in 2018, there will be up tp 20%
deduction from net business income for a sole proprietorship, LLC
(excluding those taxed as a C corporation),  partnership, S corporation,
and rental activity that qualify.  The rules are incredibly complex,
and there may be lot of planning in order to maximize this deduction. 

These are the most common changes, and since many of these changes
are not simple, so it is recommended to have a look in details especially
as they may affect your 2018 estimated tax payments.  

We look forward to working with you.