Tax Reform – do you need to do anything for 2017
It seems likely that we will have a Tax Reform Act (also known as an Accountants and Tax Lawyer Relief Act) as early as this week. One of the questions from clients is “do I need to consider this for the 2017 tax year?”
So far, I have not seen or heard of any significant impact for 2017 taxes. There is however a significant tax planning aspect to consider if you can pull it off. Since the maximum tax rates for business are scheduled to come down by quite a bit, moving as much business income as possible from 2017 to 2018 would be a good idea. One technique is to postponing invoicing until the new year or being less aggressive about collecting than normal.