By: M.Alequin
New tax law on meals and entertainment deduction
|
Type of Expense |
2019 |
|
Entertaining clients (concert tickets, golf games, etc.) |
0% deductible |
|
Business meals with clients Note: Receipts, customer name and purpose must be recorded |
50% deductible |
|
Office snacks and meals |
50% deductible |
|
100% deductible |
|
Meals & entertainment (included in compensation) |
100% deductible |
State taxes and real estate taxes deduction change (SALT)
Starting in 2018, taxpayers cannot deduct more than $10,000 of total state and local taxes and real estates taxes.
. The limit of $10,000
Example: So, your state tax bill is $6,000 and your state income tax bill is $7,000, you can only deduct $10,000.
Note: This tax law provision is scheduled to expire after 2025.
Standard Deduction for most taxpayers
|
Tax Year |
2017 |
2018 |
2019 |
|
Filing Status |
Standard deduction |
Standard Deduction |
Standard Deduction |
|
Single or Married Filing Separately |
$6,350 |
$12,000 |
$12,200 |
|
Married Filing Jointly |
$12,700 |
$24,000 |
$24,400 |
|
Head of Household |
$9,350 |
$18,000 |
$18,350 |
