The Tax Cuts and Jobs Act of 2017 (TCJA), signed into law during the closing days of 2017, significantly affects tax planning and the income tax liability for many taxpayers. This course will examine the principal changes affecting individual taxpayers made by the TCJA.
It examines the provisions of the TCJA with increased potential to affect the taxation of individuals and which are related to changes in:
Individual and capital gains tax rates;
Standard deduction and exclusions;
Income and adjustments to income;
Itemized deductions in Form 1040 Schedule A;
Form 1040 Schedule C;
Tax credits;
Individual alternative minimum tax (AMT);
Taxation of unearned income of minor children;
Qualified tuition plans;
ABLE accounts;
Tax treatment of student loan indebtedness discharges;
Net operating losses; and
Affordable Care Act individual responsibility requirement.
In addition, it will consider the business-related TCJA provisions affecting individual taxpayers, including the pass-through deduction for qualified trades or businesses under IRC Section 199A.
Learning Objectives
After completing this of the course, you will be able to:
Chapter 1
Recognize the TCJA's effect on the individual income and capital gains tax rates;
List the changes in standard deductions, filing requirements and exemptions resulting from passage of the Tax Cuts and Jobs Act;
Describe the TCJA's impact on the adjustments to income for alimony and taxpayer moving expenses;
Identify the changes affecting the itemized deductions on Schedule A; and
Understand the provisions of the enhanced child tax credit.
Chapter 2
Describe the broadening of Section 529 plan distributions;
List the changes affecting the discharge of student loan indebtedness and net operating losses;
Describe the TCJA's effect on the ACA's requirement to maintain health coverage and its changes to employee fringe benefits; and
Identify the principal changes to the rules governing real property depreciation.
Chapter 3
Recognize the general pass-through deduction for a qualified trade or business;
Define the terms "qualified trade or business," "qualified business income," and "qualified property" for purposes of the pass-through deduction;
Describe the W-2 wage limitation related to the pass-through deduction;
List the changes with respect to Schedule C provisions, including those related to -
Entertainment expenses,
Section 179 expense limits,
100% expensing,
Luxury auto limits,
Listed property updates, and
Net operating losses.
Major Topics
TCJA Provisions Affecting Tax Preparation
Itemized Deductions Schedule A
TCJA Provisions Affecting Individuals
Estate and Gift Tax Exclusion
Busines-Related TCJA Provisions Affecting Individual Taxes
Schedule C Provisions
