A Net Operating Loss On Your 2017 Tax Return Isn’t All Bad News

As a company’s deductible expenses outpace its income, a net operating loss (NOL) typically takes place. As you file your 2017 income tax return, should you discover your business had an NOL, at least one positive outcome ensues: tax benefits. But bear in mind that the Tax Cuts and Jobs Act (TCJA) has made considerable adjustments to the tax treatment of NOLs.

Small business tax savings from Sec. 179 expensing are big, with even more savings in the future

The Tax Cuts and Jobs Act (TCJA) allows for significant tax breaks regarding property purchases. This law was implemented December 2017 and greatly enhances Section 179 expensing for 2018. You might benefit from this tax break on your 2017 return if you made a qualifying purchase by December 31, 2017. If you outline your future property purchases accordingly, you can take advantage of the substantial increases to the tax break, planned for 2018 and beyond.

Tax Cuts and Jobs Act Key Elements

Individual and corporate tax returns will look significantly different come April of 2019. The Tax Cuts and Jobs Act passed in both the House and Senate last week and was officially signed into law on Friday by the President. Key changes to the tax code include a sharp reduction in the corporate tax rate, formation of new, lower tax brackets and elimination of certain deductions and credits.

Sweeping Changes to California Board of Equalization

Most California businesses and individuals are familiar with the California Board of Equalization (BOE) as the taxing authority that administers state tax laws, collects taxes, conducts audits and hears appeals. Unlike other states that have a Department of Revenue, the BOE is an elected tax commission composed of five board members who serve concurrent four-year terms.