Tax Benefits for Military Families
November 19, 2021
Resolutions for Businesses in the New Year
January 24, 2022
Accounting is a field in which rules, laws and regulations change frequently. At Anderson, Adkins & Co. we recognize the need to stay up to date with this evolving industry to best serve our clients or companies.
The week of November 15-19, 2021 proved to be important regarding recent legislature which will have an effect on taxes. While our function as a trusted accounting firm is to know the “in’s and out’s” of relevant changes to our clients’ taxes, we feel it is important to communicate to clients the most current information possible on changing tax developments.
The Infrastructure Investment and Jobs Act (IIJA)
Signed into law by President Biden on November 15, 2021
Tax Effect:
• Termination of the Employee Retention Credit for 4th quarter 2021.
• Increase Cryptocurrency Reporting Requirements
• Extends the filing deadline to petition the Tax Court
• Provide the Authority to Postpone certain tax deadline in federally declared disaster areas.
(Revised) Build Back Better Act (BBBA)
Passed by House of Representatives on November 19, 2021, with $1.6 trillion in spending
Tax Effect:
Tax Increases
• Bringing back the Corporate Alternative Minimum Tax
• Limitation on Deduction of Interest Expense
• Change to Net Operating Loss Deduction
• Termination of Employer Credit for Paid Family and Medical Leave
• Application of Net Investment Income Tax of Certain High-Income Individuals
• Surcharge on High Income Individuals, Trust and Estates above $10m and $25m
Tax Credits
• Increases in the Employer-Provided Childcare Credit
• Child Tax Credit provides for a One-Year Extension.
• Increases to Earned Income Tax Credit
• Increases eligibility for Premium Tax Credit
Tax Deductions
• Increase in State and Local Income Tax Deduction
• New Above the Line Deductions for Union Dues and Employee Uniforms
Other
• Changes to Contributions Limits for IRAs to High Income Taxpayer with Large Account Balances
• Childcare and Universal Preschools
• Comprehensive Paid Leave
Please note that the House of Representatives has only passed these changes, but the country is still waiting on Senate approval of changes.
If you would like to know more information on these changes or have any questions, please don’t hesitate to reach out to us at 706-288-2001 or . However, rest assured that your account is being managed by dedicated, responsible and professional staff members that are ready to apply their knowledge and skills for you.
