If the tax bill passes what needs to be done before 1/1/2018?

8 Replies

Do any CPAs or tax lawyers have any recommendations on thing to change by the end of the year?

@Michael Biggs standard advice would be to pre-pay 2018 property taxes (primary and secondary residences), Jan 2018 mortgage (primary and secondary residences), and your 2017 state tax bill (if you owe).

I echo Brandon. I'm doing exactly what he's saying per my CPA recommendation.

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@Brandon Hall It appears that they are not permitting a deduction for prepaid state income taxes.

So I would say yes prepay for property tax and mortgage interest but not state income tax.

@Michael Biggs for what purpose? Sole-props are generally afforded the same benefits. We're not 100% sure how the wage limitation applies to sole-props and LLCs over S-Corps as of yet. 

@Logan Allec you are correct - there is not a deduction for pre-paid 2018 state income taxes. Which is why I said to pre-pay the 2017 state income tax bill, rather than waiting until April 15th to pay :)

Oh gotcha yes you did say 2017 I saw "prepay" and auto assumed 2018.

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