House Republicans introduced legislation, referred to as Tax Reform 2.0, that would expand the Tax Cuts and Jobs Act (TCJA).
So far, President Trump has introduced tariffs on goods imports from the EU, Canada, Mexico and China. All of these countries have retaliated with tariffs of their own, and the EU has lodged a dispute at the World Trade Organisation regarding the tariffs on steel and aluminium. President Trump has just announced tariffs on a further $200bn of Chinese imported goods, and has rejected an offer from the EU to cut tariffs on automobile imports to zero if the U.S. does likewise. Battle is most definitely joined, and President Trump clearly thinks he will win. The U.S. trade deficit should be on its way out.
Hedge fund investors benefited from tax advantages over separately managed accounts (SMA) for many years. The 2017 Tax Cuts and Jobs Act (TCJA) widened the difference by suspending all miscellaneous itemized deductions, including investment fees. SMA investors are out of luck, but hedge fund investors can limit the negative impact using carried-interest tax breaks. TCJA provided a new 20% deduction on qualified business income, which certain hedge fund investors might be eligible for if they are under income caps for a service business.
The Tax Cuts and Jobs Act’s special 20% individual income tax deduction for pass-through businesses such as partnerships and sole proprietorships was misguided—and probably doomed to fail- from the beginning.
For the second time in a week, House Republicans are pushing policy changes that seem to conflict with key elements of last year’s Tax Cuts and Jobs Act (TCJA). This time, the House says it is worried about the growing numbers of self-employed workers and is giving the IRS 90 days to explain how it will improve their tax compliance.
While the Tax Cuts and Jobs Act significantly cuts taxes for US corporations, it may have created so much uncertainty that the promised benefits of those tax cuts—new productivity-enhancing investment and a shift of foreign capital to the US—are being delayed.
The Tax Cuts and Jobs Act (TCJA) is plagued by a recurrent problem: Many parts of the law tax similar income or assets at different rates. That tendency has created an enormous mess with the tax treatment of pass-through businesses, where certain income from certain taxpayers enjoys a 20 percent individual income tax deduction while similar income from other taxpayers does not.
Brown-Forman earns only half of its revenue from the United States, with Europe accounting for a quarter and Mexico and Canada contributing around 5 percent and 1 percent of net sales, respectively. Shares of the Kentucky-based company were on course for their worst day in nearly seven years, falling 6.5 percent in afternoon trade as the company also warned of gross margin declines due to higher wood, agave and freight costs.
President Trump and his allies in Congress promised that the Tax Cuts and Jobs Act (TCJA) would supercharge the US economy, […]. But the negative economic effects of Trump’s highly restrictive trade and immigration policies threaten to overwhelm any benefit of the tax cuts.