Build Back Better Act Has Passed, What Does This Mean To You?
The House of Representatives on Friday morning passed H.R. 5376, the Build Back Better Act, by a vote of 220–213. The bill encompasses a wide range of budget and spending provisions and has been the focus of protracted negotiations for the past several weeks. How is this Bill going to affect you? One good news you would perhaps want to know is the change in the SALT deduction cap. The bill would increase the Sec. 164(b) limitation on the deduction for state and local taxes from $10,000 to $80,000 ($40,000 for married taxpayers filing separately and for trusts and estates) but would extend the limitation through 2031. How does that translate into benefits for you? That means that you will most likely be able to claim itemized deductions and hence lower your taxable income further if the bill is signed into law.
Tax planning is important for changes like this so you can save thousands of dollars lowering your taxable income legally. Need help? Please do not hesitate to call us at (832) 295-3353. You can also set up an appointment with us at https://xqcpa-bookme.acuityscheduling.com/schedule.php. Last but not least, please like and share our daily posts! #taxes #financeandeconomy #tax #taxationinbusiness