It’s the first week of October and tax reform is heating up. These are your top headlines from last week.
Puerto Rico’s Economy In Crisis After Hurricane Maria
Solomon Hsiang has a great op-ed over at The New York Times about how the aftermath of Hurricane Maria could set the Puerto Rican economy back decades. Maria was the 6th strongest hurricane to hit landfall in the Atlantic and left Puerto Rico without power and with limited supplies. If you want to donate towards the cause, PBS has a great resource to connect you with charities that are raising money for the effort.
Trump Kicks Off Tax Reform
The Balance has a great article by Kimberly Amadeo detailing how Trump’s tax plan will impact your taxes. Some highlights:
- Lowers top rate from 39.6% to 35%
- Cuts the top corporate tax rate from 35% to 20%
- Eliminates all itemized deductions except for charitable giving and mortgage interest
- Doubles the standard deduction
- Eliminates personal exemptions
- Eliminates the AMT (Alternative Minimum Tax)
- Eliminates the estate tax
- Eliminates step up basis through inheritance
Consensus: the tax plan is a massive tax cut for the top 1% and is a nightmare for the upper middle class. This is not a political statement but instead a headline from Forbes.
AI, Blockchain and Automation are Top Of Mind For Accounting Industry Leaders
The introduction of AI, blockchain and automation will fundamentally change how accountants do their job – and it’s top of mind for leaders in the industry according to Daniel Hood over at Accounting Today. Daniel does a deep dive into the minds of top CEOs of accounting firms and their concerns for the future. The article discusses how these technologies will change attest, tax and advisory services.