Tax Cuts and Jobs Act of 2017: LLC, Partnerships, S Corps, and Sole Proprietors
The recent Tax Cuts and Jobs Act brought with it many changes to federal tax law. In this series of blog posts, we explore what’s new in taxes.
There is now a 20% deduction for this “pass-through” income. However, for professional services providers like lawyers, doctors, and accounts, only the first $157,000 is deductible for single filers (and only the first $315,000 for joint filers). It is important to note that the 20% deduction does not apply to passive investments in LLCs, Partnerships, and S Corps.
Attorney Fred Jacobs of Bach, Jacobs & Byrne, P.A. is a Florida Board Certified Tax Law attorney who can advise you throughout the tax planning process. Call (941) 906-1231 to set up a consultation to review your situation.