What to expect from President Trump's tax plan

1 year 4 months 2 days ago Monday, February 12 2018 Feb 12, 2018 Monday, February 12, 2018 5:48:00 PM CST February 12, 2018 in News
By: Lauren Magarino, KOMU 8 News Reporter

JEFFERSON CITY - Two nearly identical American taxpayers could have different returns because of the new tax plan President Donald J. Trump signed into effect December 2017.

“It's not a serve one serve all tax change. It's going to apply to each individual return on an each individual basis,” tax planner Jeff Krieger said.

One factor that helps determine a taxpayer’s return are dependents. Krieger said returns can vary from dependents being under 17 or in college. A taxpayer’s home mortgage will also affect their return.

Although the plan varies from individual to individual, it gives both taxpayers and tax planners more time to prepare. Previous tax acts gave accountants only 10 days.

“I told you to buy blue shoes all along and then on December 22 I told you, you can't buy blues shoes. You have to buy red shoes,” Krieger said. “We just wasted 11 and a half months of tax planning. We had 10 days to correct ourselves. That's not good for anyone.”

Now tax planners have a year to advise their clients.   

“Accountants like me are kind of jumping up and down right now,” Krieger said.

He also said families that make less than $150,000 would potentially benefit from the plan. Families that make $175,000 and up would potentially experience negative effects.

Krieger read through the tax plan and came up with this list of significant changes:  

  • Deducting business employee expenses using your own car, house, tools etc. is not allowed.

  • There is a ten thousand dollar cap for state and local taxes, which includes personal real estate taxes.

  • The marriage penalty is virtually eliminated.

  • Capital gains taxes experience very little change.

  • Deducting moving expenses is not allowed.

  • The standard deduction doubles, but personal exemptions are eliminated.

  • Mortgage interests, charitable contributions and medical expenses are all changing.

These changes expire in seven years.


More News

Grid
List
MILLER COUNTY - A Brumley man was pronounced dead at the scene of a single car accident on MO 42... More >>
10 hours ago Sunday, June 16 2019 Jun 16, 2019 Sunday, June 16, 2019 8:33:00 PM CDT June 16, 2019 in News
FULTON - Two Fulton residents were arrested Sunday afternoon after authorities say they resisted arrest. Fulton Police attempted to... More >>
13 hours ago Sunday, June 16 2019 Jun 16, 2019 Sunday, June 16, 2019 5:34:00 PM CDT June 16, 2019 in News
OLEAN - As natural disasters swept through Missouri, some people are unable to stay in their homes. Flood victims... More >>
14 hours ago Sunday, June 16 2019 Jun 16, 2019 Sunday, June 16, 2019 5:00:00 PM CDT June 16, 2019 in News
ELDON - A St. Charles woman has died from injuries sustained after a golf cart crash in Eldon Saturday. ... More >>
14 hours ago Sunday, June 16 2019 Jun 16, 2019 Sunday, June 16, 2019 4:42:00 PM CDT June 16, 2019 in News
JEFFERSON CITY (AP) — A bill dubbed the "Jedi Disposal Act" could soon make Missouri the first state to allow... More >>
16 hours ago Sunday, June 16 2019 Jun 16, 2019 Sunday, June 16, 2019 2:50:12 PM CDT June 16, 2019 in News
COLUMBIA - The missing 5-year-old girl found safe in North Carolina this week is now back in her father's custody.... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 8:59:00 PM CDT June 15, 2019 in News
COLUMBIA - Shelter Insurance will hold its 43rd season of Concerts in the Garden series. According to Shelter Insurance's... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 8:12:00 PM CDT June 15, 2019 in News
MORGAN COUNTY - Five people were injured when a passenger boat exploded on the Lake of the Ozarks Saturday afternoon.... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 6:56:00 PM CDT June 15, 2019 in News
COOPER COUNTY - One man is dead and another injured after a two vehicle collision in Cooper County Friday afternoon.... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 4:20:47 PM CDT June 15, 2019 in News
BOONE COUNTY - Workers and volunteers began cleaning up Cooper’s Landing Saturday after recent flooding forced them to close down... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 3:04:00 PM CDT June 15, 2019 in News
HATTON - One man is in custody after leading Callaway County Sheriff's deputies on a chase near Hatton Friday evening.... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 3:04:00 PM CDT June 15, 2019 in News
COLUMBIA - Two more women were arrested in connection to the case of a missing Boone County child who was... More >>
1 day ago Saturday, June 15 2019 Jun 15, 2019 Saturday, June 15, 2019 10:12:00 AM CDT June 15, 2019 in News
COLUMBIA - Cooper's Landing is asking people to help them clean up after recent flooding. The restaurant closed nearly... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 11:10:00 PM CDT June 14, 2019 in Continuous News
MEXICO - Ayanna Shivers made history on April 8 when the Mexico City Council elected her mayor. Shivers is... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 10:58:00 PM CDT June 14, 2019 in News
RUSSELLVILLE - The volunteer fire department in Russellville is celebrating after receiving new tires for one of its trucks. ... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 9:42:00 PM CDT June 14, 2019 in News
COLUMBIA - A Chariton County man charged with involuntary manslaughter in the death of his fiance has pleaded not guilty.... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 9:04:00 PM CDT June 14, 2019 in News
COLUMBIA - People living along West Broadway in Columbia are joining forces to protect three 100 year old houses. ... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 7:08:00 PM CDT June 14, 2019 in News
JEFFERSON CITY – Employees at Veterans United Home Loans donated $100,000 Friday to the American Red Cross for tornado and... More >>
2 days ago Friday, June 14 2019 Jun 14, 2019 Friday, June 14, 2019 6:44:00 PM CDT June 14, 2019 in News
Columbia, MO
Broken Clouds 70°
8am 69°
9am 69°
10am 69°
11am 71°