Passthrough taxation

Decoding Tax Reform: Pass-Through Entities Part 1 – The 20% Deduction for Qualified Business Income

Topics: Passthrough taxation, Tax treatment

The new tax reform legislation enacts a 20% income tax deduction based on the “qualified business income” of an owner of a business structured as a sole proprietorship or pass-through entity. If the deduction can be fully utilized, it will result in a marginal rate on qualified business income of 28% for a typical taxpayer…

Decoding Tax Reform- Interim Update – Where We Are Now

Topics: Estate planning, Estate tax, GST, Passthrough taxation, Tax reform

Last week, the tax reform effort took major steps forward, as the House passed its version of the Tax Cut and Jobs Act (“House Bill”) and the Senate Finance Committee passed its legislative mark-up (“Senate Bill”). Yet, the Bills differ in several key areas, including: (1) estate and GST taxes, (2) the state and local…