Overview Of The 2017 Tax Cuts and Jobs Act (TCJA).
Under the 2017 Tax Cuts and Jobs Act (TCJA) many tax brackets, thresholds, and rate changes became effective on January 1, 2018.
Keep in mind, the lower tax rates for individuals in the chart below are poised to expire in 2025 unless Congress takes steps to make them permanent.
Other changes impacting individual taxpayers:
- Increased Standard Deduction ($12,000 for individuals, $18,000 for Head of Household, and $24,000 for married couples).
- Expansion of the Child Tax Credit to $2,000 per qualifying child under 17.
- $10,000 cap on the Deduction of State and Local Taxes (SALT).
- Limitation on Mortgage Interest Deduction.
- Beginning in 2019, elimination of the ACA Mandate.
- Annual limit of Charitable Contributions increased to 60% of Adjusted Gross Income.
- Elimination of the Personal Exemption and the elimination of other deductions such as Moving Expenses, Alimony Expenses, Personal Casualty Loss, and Miscellaneous Itemized Deductions.
For detailed information, click Federal Tax Chart