Lewis & Associates Tax Planning, Inc.

02/15/2022

Illinois passed an optional 4.95% PTE (Pass-through Entity) tax on the profit from S Corporations, partnerships and certain trusts. The PTE tax on business owners is effective after December 31, 2021. An Illinois resident who "opts-in" to pay this tax may receive a federal tax benefit as a "workaround" against the $10,000 federal limitation on state tax deductions. Illinois residents will also receive a tax credit against the PTE tax on their state income tax returns. For more information about this tax contact E. Pete Lewis, CPA, EA at (630) 845-9664.

12/11/2018

As 2018 comes to a close make sure you aren't surprised by a big tax bill at year end. If you’re a wage earner do a final review of your W-4 for the correct tax withholding allowance. If you’re a business owner be sure you’re poised to take advantage of the new 20% discount for pass-through entities.

Here is a snapshot of several other tax law changes in 2018:

(1).Elimination of the personal and dependency exemption worth $4,150 per person. But replaced with $2,000 child tax credit for dependents under 17 years old.

(2). Cap of $10,000 on itemized deductions for real estate taxes and state income taxes.

(3). Elimination of the home office deduction, unreimbursed employee business expenses, investment expenses, management fees, tax preparation fees and several other expenses.

(4). Elimination client entertainment expenses deduction.

(5). Reduction in Net Operating Loss deductions incurred by business owners.

As always feel free to email me with questions at [email protected].

02/04/2018

I am pleased to inform you of an upcoming live webinar I'll be speaking at. It's titled "Uncovering Overlooked Tax Breaks: Planning Considerations in 2018" on March 19, 2018. It's sponsored by Lorman Education Services. I think this program will be of particular interest to you. Because I am a faculty member, you can receive 50% off the fee of $219. Please visit this link for more program details:

http://www.lorman.com/live-webinar/401098
When registering, use priority code 15999 and discount code G7331376. Or you can:
• Register online at http://www.lorman.com,or
• Call 1-866-352-9539

The tax consultants at Lewis & Associates are strategists who help reduce taxes for sole proprietors, corporation shareholders and partners. We are CPAs, lawyers and IRS Enrolled Agents with more than 20 years average experience.

10/22/2017

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