Business can deduct the cost of depreciable assets in one year instead of amortizing them
Corporate Rate Lowered from 35 to 21 percent
Corporate Rate is Territorial
Foreign Income is Tax Free
No need to keep profits overseas
Past profits repatriated at Tax rate of 15.5% for cash and 8% for equipment
Consider: Use oversea cash to buy equipment and ship the equipment to US
Standard Deduction for Pass-through business 20%
Deduction phases out for service professionals once income reaches
$157,500.00 for single
$315,000.00 for Joint
Pass-through companies account for about 95 percent of U.S businesses –
sole proprietorships, partnerships and S corporations
are all examples of pass-through businesses.
All of the Trump's businesses are pass-through businesses
Consider: Advantage of owning taxable bonds in a pass-through cooperation
Limits ability to deduct interest expense to 30% of EBITDA
This provision ends in 2025