Tuesday, May 9, 2017

WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’

* Have you seen my latest THE LIBERTY TIMES installment?  I discuss tax reform.  I provide more details on my tax reform proposals and suggestions here.
 
* Catherine Murray provides us with “2017 health care reform: An analysis of the American Health Care Act’s tax provisions” at ACCOUNTING TODAY.
 
I must remind you that this is NOT a final law – and I expect many changes to be made to the bill in the Senate.  So nothing mentioned in this article is currently, or may actually become, tax law.
 
The bill does away with the bad of the Affordable Care Act - the individual mandate and the employer mandate, retroactively effective beginning in 2016, the 3.8 percent net investment income tax, the 0.9 percent additional Medicare tax, effective 2023, the higher floor for medical expense deductions, and the various nickel and dime fees and charges.  The current Premium Tax Credit system is replaced with refundable tax credits, which may have an advance payment component, effective in 2020.
 
 
Click here, and then click on “Read the full coverage here” under “ACA Repeal and Replacement” to download the CCH Tax Briefing special report on the AHCA.
 
* Want my 1040 insights in your in box?  Click here!
 
* Sarah Brenner “6 Things Every Non-Spouse IRA Beneficiary Needs to Know” at THE SLOTT REPORT.
 
* Sarah also talks about “What the Trump Tax Plan Means for Your Retirement” in a subsequent piece.
 
In her opening paragraph she suggests “the Trump administration released its highly-anticipated tax reform plan”.  What tax reform plan?  What the idiot “released” was the equivalent of notes on a cocktail napkin.
 
I am sure the Republican Party will soon be presenting a detailed tax reform plan – certainly more thought out and substantive than what the idiot in the White House “released” – and I expect it will affect retirement planning.  But I would wait until the release of the real plan before spending any time in thought.
 
* Kay Bell confirms what is obvious to most – the idiot in the White House is truly an idiot with no concern for the country or the American people – in “Trump tweets threaten future funding fight and possible 'good' government shutdown this fall”.
 
Only interested in his own ego, Trump wants to shut down the government to get the nonsense he wants.
 
The post has one good item of note regarding the IRS budget -  
 
* . . . the fiscal year 2017 budget deal keeps the agency's funding at $11.2 billion. That's the same as last year's level.”
 
The idiots in Congress had been consistently reducing the IRS budget while continuing to erroneously give it additional work related to delivering government benefits via the Tax Code.  At least they have proven, thankfully, that they are not as stupid as the idiot in the White House (nobody is – except perhaps for some of his apologists/explainers), and the IRS budget has not been further reduced. 
 
Now we only need to rewrite the Tax Code, stop the IRS from being forced to use outside collection agencies, and get some competent management at the IRS.
 
* Jason Dinesen deals with the question “When Should I Form an S-Corp?” at DINESEN TAX TIMES  .
 
Jason makes a good point, with which I agree -
 
In my experience, many people form S-corps way, way too soon, and then get mad because the tax savings end up not being worth the hassles and headaches.”
 
A benefit of an S-Corp is the ability of the shareholder avoid the double taxation of “regular” corporation dividends when taking cash, other than salary and expense reimbursements, out of the corporation.  And there is also a benefit for new corporations with initial losses – allowing the shareholder to deduct the losses on his or her personal return.  But, as with any other tax option, careful thought must go into the decision to elect Sub-S status.  
 
THE FINAL WORD
 
Idiot Trump is truly mentally ill and must be removed from office before he does real, irreparable damage to the country and the world.
 
Hey – it is not just me saying this:
 
                 
TTFN
 
 
 
 
 
 
 
 
 
 
 
 
 

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