CD183: Tax Cuts... For Some of US

Taxes: We all hate them but we all have to pay them. In December 2017, the Republicans in Congress rushed major changes to our tax policy into law. In this episode, host Jen Briney and her accountant friend, Alexis Claypool, explain the most significant changes to how our tax payments are going to be calculated and how these changes are likely to affect us. You will also learn about a major dingleberry that hitchhiked its way into law attached to this bill. Joe Briney joins Jen for the Thank Yous.

---

Please Support Congressional Dish - Quick Links

• Click here to contribute a lump sum or set up a monthly contribution via PayPal

• Click here to support Congressional Dish for each episode via Patreon

• Send Zelle payments to: [email protected]

• Send Venmo payments to: @Jennifer-Briney

• Use your bank’s online bill pay function to mail contributions to:

5753 Hwy 85 North Number 4576 Crestview, FL 32536

Please make checks payable to Congressional Dish

Thank you for supporting truly independent media!

---

H.R. 1: An Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018.

 

Subtitle A - Individual Tax Reform

Part I - Tax Rate Reform

Sec. 11001. Modification of Rates

Married Individuals Filing Joint Returns

Heads of Households

Unmarried Individuals

Inflation Adjustment

Part II - Deduction for Qualified Business Income of Pass-Thru Entities

Sec. 11011. Deduction for Qualified Business Income

Phase-In of Limit for Certain Taxpayers

Qualified Business Income

Exception for specified service businesses based on taxpayer's income

Threshold Amount

Application to partnerships and S Corporations

Part III - Tax Benefits for Families and Individuals

Sec. 11021. Increase in Standard Deduction

Sec. 11022. Increase in and Modification of Child Tax Credit.

Sec. 11027. Temporary Reduction in Medical Expense Deduction Floor.

Special Rules for Use of Retirement Funds with Respect to Areas Damaged by 2016 Disasters

Part IV - Education

Part V - Deductions and Exclusions

Sec. 11042. Limitation on Deduction for State and Local, etc. Taxes

Sec. 11043. Limitation on Deduction for Qualified Residence Interest

Sec. 11045. Suspension of Miscellaneous Itemized Deductions

Sec. 11047. Suspension of Exclusion for Qualified Bicycle Commuting Reimbursement

Sec. 11048. Suspension of Exclusion for Qualified Moving Expense Reimbursement

Sec. 11049. Suspension of Deduction for Moving Expenses

Sec. 11051. Repeal of Deduction for Alimony Payments

Part VI - Increase in Estate and Gift Tax Exemption

Sec. 11061. Increase in Estate and Gift Tax Exemption

Part VII - Extension of Time Limit for Contesting IRS Levy

Part VIII - Individual Mandate

Sec. 11081. Elimination of Shared Responsibility of Payment for Individuals Failing to Maintain Minimum Essential Coverage

Subtitle B - Alternative Minimum Tax

Sec. 12001. Repeal of Tax for Corporations

Sec. 12003. Increased Exemption for Individuals

Subtitle C - Business-related Provisions

Part I - Corporate Provisions

Sec. 13001. 21-Percent Corporate Tax Rate

Part II - Small Business Reforms

Sec. 1301. Modifications of Rules for Expensing Depreciable Business Assets

Part III - Cost Recovery and Accounting Methods

Sec. 13201. Temporary 100-Percent Expensing for Certain Business Assets

Sec. 13202. Modifications to Depreciation Limitations on Luxury Automobiles and Personal Use Property

Part IV - Business-Related Exclusions and Deductions

Sec. 13301. Limitation on Deduction for Interest

Sec. 13304. Limitation on Deduction by Employers of Expenses for Fringe Benefits

Qualified Transportation Fringes

Transportation and Commuting Benefits

Sec. 13306. Denial of Deduction for Certain Fines, Penalties, and Other Amounts

Sec. 13307. Denial of Deduction for Settlements Subject to Nondisclosure Agreements Paid in Connection with Sexual Harassment or Sexual Abuse

Sec. 13308. Repeal of Deduction for Local Lobbying Expenses

Sec. 13311. Elimination of Deduction for Living Expenses Incurred by Members of Congress

Part V - Business Credits

Sec. 13403. Employer Credit for Paid Family and Medical Leave

Termination

Part VI - Provisions Related to Specific Entities and Industries

Sec. 13531. Limitation on Deduction for FDIC Premiums

Part VII - Employment

Sec. 13602. Excise Tax on Excess Tax-Exempt Organization Executive Compensation

Part VII - Exempt Organizations

Sec. 13702. Excise Tax Based on Investment Income of Private Colleges and Universities

Part IX - Other Provisions

Sec. 13802. Reduced Rate of Excise Tax on Beer

Sec. 13804. Reduced Rate of Excise Tax on Wine

Sec. 13807. Reduced Rate of Excise Tax on Certain Distilled Spirits

Subtitle D - International Tax Provisions

Part 1 - Outbound Transactions

Sec. 14101. Deduction for Foreign-Source Portion of Dividends Received by Domestic Corporations from Specified 10-Percent Owned Foreign Corporations

Sec. 14202. Deduction for Foreign-Derived Intangible Income and Global Intangible Low-Taxed Income

Sec. 14211. Elimination of Inclusion of Foreign Base Company Oil Related Income

Part II - Inbound Transactions

Part III - Other Provisions

Title II

Sec. 20001. Oil and Gas Program

Sec. 20003. Strategic Petroleum Reserve Drawdown and Sale

---

Additional Reading

• Article: Tax reform eliminates deduction for moving expenses by Brittany Benson, H&R Block, October 24, 2018.

• Article: What are political or lobbying expenses and are they deductible? by Jean Murray, The Balances MB, October 23, 2018.

• Article: What changes has the IRS made to moving expense reimbursement? by Terry Sheridan, Accounting Web, October 3, 2018.

• Article: How the Trump tax law passed: GOP adds sweeteners by The Hill Staff, The Hill, September 28, 2018.

• Article: Repatriated profits total $465 billion after Trump tax cuts - leaving $2.5 trillion overseas by Jeffry Bartash, MarketWatch, September 19, 2018.

• Article: Foreign-derived intangible income deduction: Tax reform's overlooked new benefit for U.S. corporate exporters by Frank J. Vari, The Tax Adviser, August 2, 2018.

• Article: Will the Tax Act set back private equity? by David Dayen, The American Prospect, July 2, 2018.

• Article: The new tax form is postcard-size, but more complicated than ever by Jim Tankersley, The New York Times, June 25, 2018.

• Article: Four key changes for depreciation deductions by Bobby M. Bragg, Jamison Money Farmer PC, May 29, 2018.

• Article: New: IRS announces 2018 tax rates, standard deductions, exemption amounts and more by Kelly Phillips Erb, Forbes, March 7, 2018.

• Article: New excise tax on excess executive compensation by tax-exempt organizations by Christine Faris and Stephen Sutten, Baker Tilly, January 29, 2018.

• Article: Tax credit aims to boost availability of paid family leave, but will it work? by Michelle Andrews, NPR, January 23, 2018.

• Article: Corporate America celebrated tax cuts by laying off workers by David Dayen, Vice, January 10, 2018.

• Article: Andy Blunt joining in lobbying venture wtih long-time confidant of his father by Chuck Raasch, St. Louis Post-Dispatch, January 10, 2018.

• Article: Bonus tucked into GOP tax bill for those aiming to deduct medical expenses by Michelle Andrews, Kaiser Health News, December 22, 2017.

• Article: Final tax bill includes huge estate tax win for the rich: The $22.4 million exemption by Ashlea Ebeling, Forbes, December 21, 2017.

• Article: Newly passed Tax Cuts and Jobs Act eliminates employers' commuter benefits deductions by Matt Gerard, NBS, December 21, 2017.

• Article: Beer, wine, and spirits industries toast passage of GOP tax bill by Victor I. Nava, Washington Examiner, December 20, 2017.

• Article: A quick guide to the GOP tax plan, Bloomberg News, December 18, 2017.

• Article: CEOs aren't waiting for the tax bill to pass - they've already started pocketing the windfall by David Dayen, The Intercept, December 18, 2017.

• Article: Have you ever felt sorry for the I.R.S.? Now might be the time by Patricia Cohen, The New York Times, December 18, 2017.

• Article: File your taxes on a postcard? A G.O.P. promise marked undeliverable by Jim Tankersley, The New York Times, December 16, 2017.

• Article: Special giveaways in tax cut bill benefit family members and colleagues of key GOP senators by Lee Fang, The Intercept, December 1, 2017.

• Article: CBO: Senate tax bill would hurt poor by Mallory Shelbourne, The Hill, November 27, 2017.

• Article: Republican plan delivers permanent corporate tax cut by Jim Tankersley, Thomas Kaplan, and Alan Rappeport, The New York Times, November 2, 2017.

• Article: The GOP Tax Bill is out - and now we know why it was secret for so long by David Dayen, The Nation, November 2, 2017.

• Article: BP's $20.8 billion gulf spill settlement nets $15.3 billion tax write-off by Robert W. Wood, Forbes, October 6, 2015.

---

Resources

• CDC: Alcohol and Public Health

• Govtrack: H.R. 1: Tax Cuts and Jobs Act

• Institute on Taxation and Economic Policy: Who Pays?

• Joint Committee on Taxation Publication: JX-67-17

• OpenSecrets.org: Dan Sullivan

• OpenSecrets.org: Don Young

• OpenSecrets.org: Lisa Murkowski

• OpenSecrets.org: Rep. Mike Kelly

• OpenSecrets.org: Rep. Peter DeFazio

• OpenSecrets.org: Sen. Rob Portman

• OpenSecrets.org: Sen. Roy Blunt

• Treasury.gov: Unified Framework for Fixing Our Broken Tax Code

• Turbo Tax: What Are Standard Tax Deductions?

• USGS: ANWR Maps

---

Sound Clip Sources

Congressional Record of the 115th Congress; House of Representatives, Wednesday, September 27, 2017.

Congressional Record of the 115th Congress; House of Representatives, Thursday, September 28, 2017.

Congressional Record of the 115th Congress; House of Representatives, Wednesday, October 4, 2017.

Congressional Record of the 115th Congress; House of Representatives, Monday, December 18, 2017.

Congressional Record of teh 115th Congress; House of Representatives, Tuesday, December 19, 2017.

---

Community Suggestions

See more Community Suggestions HERE.

---

Cover Art

Design by Only Child Imaginations

---

Music Presented in This Episode

Intro & Exit: Tired of Being Lied To by David Ippolito (found on Music Alley by mevio)