what are two bad tax changes and why?

Expert Solution

Following are the two bad tax changes according to me:-

1) Standard deduction has been doubled. However, along with the same personal exepmtion has been eliminated. A single tax filer's deduction increases from $6,350 to $12,000. The deduction for married filing jointly increases from $12,700 to $24,000.

Here, those who were claiming just 2 deductions of $4150 will get a good benefit of doubled standard deduction. But those who used to claim more deductions like 5 or 6 will have to pay higher tax. There is no other deduction available for sucn families. This is not good equality. According to me this provision should change.

2) The Act eliminates the corporate AMT. Also, it reduces the minimum corporate tax from 35% to 21%. The move is good to attract more cosporations to be formed. However, unlike corporations, the alternative minimum tax for individuals was not repealed.

The tax bill is good for big corporates, but not for individuals and small businesses.

ekkarill92 answered 1 year ago

Why is the new tax reform law represents the most significant tax changes in the United...

Why is the new tax reform law represents the most significant tax changes in the United States in more than 30 years. The new tax brackets, modified deductions and credits, corporate tax change.

Is home ownership good or bad for an individual? Discuss why or why not. Write two...

Is home ownership good or bad for an individual? Discuss why or why not. Write two to three large paragraphs

•1. How did Opening-up and Reform change China? Were these changes good or bad? Why? •...

•1. How did Opening-up and Reform change China? Were these changes good or bad? Why? • •2. Did China become a global power in this period? If so, explain. If not, explain as well.

Exaplain why a water hammer is bad and what is it used for?

Why is deflation bad?

Why is it important to understand the tax law changes that may affect withholding amounts? It...

Why is it important to understand the tax law changes that may affect withholding amounts? It is critical that you are able to explain the reasons for the change in the outcome and to help taxpayers make adjustments accordingly. It is critical to explain the withholding tables and exactly how they are computed. Taxpayers always ask for your help with completing their Forms W-4. To verify employers are withholding the correct amount of federal tax.

The new tax law changes corporate tax rate to a lower 21%, it also changes some...

The new tax law changes corporate tax rate to a lower 21%, it also changes some thresholds of the “pass-through” entities. For example, business owners may deduct 20% of their QBI (qualified business income). Explain why partnerships and S corporations are considered “pass-through” entities and present an example of how the pass-through works.

What changes would you recommend to the HR system/architecture and why? For the two companies Lincoln...

What changes would you recommend to the HR system/architecture and why? For the two companies Lincoln Electric and SAS

Compare the deduction for business bad debts vs. non-business bad debts. (US Tax)

What were the most significant changes in this new tax law? What would be the effect...

What were the most significant changes in this new tax law? What would be the effect on a business for which you might work as an engineer Would there be any changes in the way businesses deal with depreciation? A big change in taxes and depreciation also occurred in the 1980s. Research and summarize the effects of the Accelerated Cost Recovery System (ACRS) on taxes and depreciation. What is your opinion of ACRS?

Question