Senate Republicans unveiled a tax plan Thursday which chops taxes on businesses and makes major tweaks to the individual tax system. It broadly follows the outlines of a similar bill making its way through the House.
Senate Republicans on Nov. 9 unveiled their tax plan, which differs considerably from the House bill in a number of ways. Significant changes to the Senate's plan and official release of the actual bill language are expected this weekend, Nov. 11-12.
Furthermore, both versions of the bill would increase the tax credits available to families, but the Senate bill is significantly more generous in this respect. The House bill raises the current $1,000 child tax credit to $1,600 and introduces a new "Family Flexibility Credit" worth $300 per year for individuals and $600 for couples.
HR 1, the Tax Cuts and Jobs Act (House Bill), as introduced in the House Ways and Means Committee on November 2, 2017, included provisions that would, among other things, dramatically affect the taxation of employees and other service providers with respect to nonqualified deferred compensation (including stock options, stock units and stock ...
It would mirror the House bill, repealing the deduction for state and local income taxes or sales taxes, while preserving the deduction for state and local property taxes, capped at $10,000.
The House bill proposed four (4) tax rates: 12%, 25%, 35% and 39.6%. The Senate bill would keep seven (7) brackets and reduce the top marginal rate to 38.5%. Standard Deduction. The standard deduction amounts for 2018 - absent reform - are $6,500 for individuals, $9,550 for heads of households (HOH), and $13,000 for married couples filing jointly.
Comparison of House and Senate Tax Bills and Impacts on Nonprofits Printer-friendly version Please click the image to the right to download our comparison of the key provisions in the House and Senate tax bills that could affect nonprofits.
The House passed a nearly $1.5 trillion tax bill that differs from legislation approved by the Senate Finance Committee. A comparison of the Republican-written measures: The House passed a nearly $1.5 trillion tax bill that differs from legislation approved by the Senate Finance Committee.
Estate Tax: Both the House and Senate bills immediately double the estate tax exclusion while retaining stepped-up basis. The House repeals the estate tax beginning in 2025. In the Senate bill, the expanded estate tax exclusion expires after 2025 with the exclusion amount reverting to current law.
Comparison of Key Provisions in House/Senate Tax Reform Bills UPDATED December 15, 2017 1 House-passed version of the Tax Cuts and Jobs Act, H.R. 1 (passed 11/16/2017) 2 Senate Manager’s modified substitute version of the Tax Cuts and Jobs Act (passed 12/2/2017).