Hurry, Deductions & Credits are More Valuable in 2017

The federal tax bill was signed by the president last week, squeezed in just before year-end. That gives you an extremely short window to take advantage of the greater value of losses or expenses this year.

Tax brackets are dropping in January (next week), standard deductions are increasing, the pass-through rate for small business owners is dropping and all those make expenses and capital gains losses much more valuable this year. Taxable investment accounts should take losses this year and time is almost up.

Talk to me, or if you are with another advisor, talk to them advisor ASAP if there are any available losses on taxable investments you can take before Jan. 1.

You should also consider contributing more to charity before year-end or making your normal monthly charitable contributions for January this week instead, when if you’re like most people, your deductions and credits are worth more this year than next.

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