Now that we are in the era of a new presidential administration, there is always the question about how this can affect my taxes.  The purpose of this synopsis is to give taxpayers a high level overview of the Trump Administration’s Tax Proposals:

  • Reducing the amount of personal income tax brackets from seven to three.  The new brackets would be 12, 25, and 33 percent.

  • Increase the standard deduction for single taxpayers to $15,000 and for married taxpayers to $30,000.  This is projected to save taxpayers more money.

  • Repeal the alternative minimum tax and estate taxes

  • Repeal personal and dependency exemptions along with the Head of Household filing status.  Could case more than half of single parents to pay more under this repeal.

  • Caps itemized deductions at $100,000 (single taxpayers) and $200,000 (married taxpayers)

​There isn’t any guarantee that these proposals will be accepted and agreed upon by all levels government.  We believe that there will be some kind of compromise in the end.

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