Trump-Republican tax plan, Bad for large families

[EJB]

Doesn't everyone on this forum have a small business or two?

I don’t. I work for corporate America. And my company isn’t sharing w me any of its extra profits.

[Dan]

I don’t. I work for corporate America. And my company isn’t sharing w me any of its extra profits.

Stop your kvetching. Your company pays half your SS/Medicare/Payroll tax and probably also gives you health insurance, 401k, and other benefits.

[ChaimMoskowitz]

I don’t.

You have no business CC's?

[EJB]

Stop your kvetching. Your company pays half your SS/Medicare/Payroll tax and probably also gives you health insurance, 401k, and other benefits.

I’m kidding not kvetching. But i also am a slave to my company yet do not share its profits significantly. But yes - half of 2 of the above taxes, 6% 401k match, minuscule pension, sike sort of hc, and other less valuable benefits

[ChaimMoskowitz]

But i also am a slave to my company...

That's a choice you made.

[EJB]

Of course

[yitzf]

Why can’t you get in on lower corporate rate?

Don't forget that the Corp rate is a double tax. The Corp will pay 20% and then when you get your share of the profits as dividends you'll pay another 20% on your personal return.

[yitzf]

I'm also curious what happens to the money already in a 529 - does it all automatically become eligible for K-12 tuition. I'd consider attempting to come up with the full $10k (apparently its per couple, not per kid), which I wasn't otherwise going to do for this year, if there's a reasonable expectation that it would later become usable for K-12.

From https://www.cruz.senate.gov/files/documents/Bills/1852.pdf it seems that the limit is in the distribution not the contribution. The limit is distributions of 10k per beneficiary per year.

[EJB]

Don't forget that the Corp rate is a double tax. The Corp will pay 20% and then when you get your share of the profits as dividends you'll pay another 20% on your personal return.

I’m talking about marginal impacts.

[aradisc]

https://twitter.com/DavidOAtkins/status/937423368109793280

[skyguy918]

From https://www.cruz.senate.gov/files/documents/Bills/1852.pdf it seems that the limit is in the distribution not the contribution. The limit is distributions of 10k per beneficiary per year.

10k is also the max annual deduction from NYS taxable income. That's what I'm referring to.

[good sam]

You have no business CC's?

[churnbabychurn]

Yes, virtually every small business is pass through

Actually maybe not..
sole proprietor and disregarded LLC's don't get a break. Right?

[Boruch999]

disregarded LLC's - define please

[ExGingi]

disregarded LLC's - define please

Single member LLCs.

[Boruch999]

Single member LLCs.

Thanks. So if the Operating Agreement lists 2 or more members, it's eligible for pass through caps?

[CPA]

In both bill's sole proprietorship are treated as "pass though" entities to take advantage of the tax breaks.

[ChaimMoskowitz]

If passed what tax year will it be for?

[yitzf]

If passed what tax year will it be for?

Starting 2018

[ChaimMoskowitz]

Thank you.