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Nov. 3, 2017 The IRS has not yet announced a date that it will begin accepting individual tax returns for the 2018 tax filing season. At the present time, the IRS is continuing to update its programming and processing systems for 2018. In addition, the IRS continues to closely monitor potential legislation that could affect the 2018 tax season, including a number of “extender” tax provisions that expired at the end of 2016 that could potentially be renewed for tax year 2017 by Congress. The IRS anticipates it will not be at a point to announce a filing season start date until later in the calendar year. The IRS will continue to work closely with the nation’s tax professionals and software community as preparations continue for the 2018 tax filing season. Speculation on the Internet that the IRS will begin accepting tax returns on Jan. 22 or after the Martin Luther King Jr. Day holiday in January is inaccurate and misleading; no such date has been set. https://www.irs.gov/newsroom/irs-statement-on-2018-filing-season-start-date

That was one of the flags for me; the link was to PAY.gov, not IRS.gov. They tell us "watch out!!!!!!!" and then send us weird links with strange names... *what* are they thinking? Oh, wait - that word, "thinking" - I don't think they know what it means.

The stated points of tax reform were to (1) cut corporate tax rates (as if big corps pay anything now) and (2) to simplify the tax code. The latest proposal is anything but simplification. Up to $10k of property taxes will be allowed; interest on mortgages up to $500k, no second homes; child tax and adult dependent CREDITS instead of deductions from AGI. Instead of erasing 1000 pages of tax code they seem to have added 10,000. Elimination of the AMT is anything but. The original proposal seemed to eliminate the regular tax system and imposed AMT on everyone--no dependent exemptions, no state/local deduction, no misc itemized deductions, limited mortgage interest deduction. Face it, AMT is a much simpler tax system than what we have now (and for that matter, what is in the revised proposal). Typically those with really high AGI don't pay AMT because their regular tax rate is higher than 28%. Those with big real estate investments will get a break because they won't have the longer AMT depreciation periods. I don't see the student loan interest adjustment helping many people now, so have no opinion on its elimination. The adjustment starts to phase out at $65k single and $130k MFJ and is gone at $80k/$160k. These are the people who get loans! Lower AGI gets grants; higher can presumably afford to pay tuition. The one part of the proposal I am enthusiastic about is the elimination of HOH filing status. It's confusing and often misused.

SaraEA the Tax Pro link on the so-called 'new and improved IRS website is supposed to be upper right.

Catherine, good for you for being skeptical. Since the IRS seldom puts links in emails, I also distrust. I usually go to irs.gov and log in there and get done what I need to do. Lately, though, the website is strange. Sometimes it shows the places I might want to go, sometimes not. The new interface does not have a link for "tax pros" like it used to, at least none that I can find. Last time I needed eservices i googled it. Anyone else experiencing this problem? I use Firefox.

If the criterion for business use is that one's significant other won't get in your vehicle, then I'm in great shape. I can start deducting mileage on my car, because my wife absolutely refuses to ride in it.

Don't forget ordinary and necessary mileage. Also don't forget about the industry standards too. I had an audit where the agent saw the van driven by a contractor. He saw the ladders and the equipment in the VAN and he said, your girlfriend will not board this VAN so it is 100% business and no logs were required because it was ordinary and necessary for this VAN to travel to work sites and the mileage we were claiming were within the industry standards. After the auditor left my client said "this VAN has saved me and my girlfriend and lot of hotel money". I ignored the comment and changed the subject.

Every time they "simplify" the tax code, my phone starts ringing off the hook. Plus, all the prior-year issues remain under the old rules and the IRS has ten years to catch up with those. But gee, wouldn't it be nice to help clients make the most out of their business opportunities, rather than our constant scramble to protect them from the ramifications of thoughtless decisions and times being stuck between the rock and the hard place? ("I want to live in Theory. EVERYTHING works in Theory!")

In the past, tax "simplification" has been very good for business. We will see.

Deb, You missed the third line "3. What we don't need, we will send back!

Two lines on postcard: 1. How much did you Make? 2. Send it in!

Goggledegook! I have been in this business for thirty plus years and not a year has gone by that I have not heard a cry to tax simplification. If the post card idea works for a bunch of folks - Great! But as long as there is taxation, there will be opportunity for you and me. And my firm belief is that there will always be taxation.

No, the basis of the equipment is its transferred-in basis, as is its holding period, and depreciation is calculated on that. You only increase the value if the partner is going to recognize gain. Do you have that situation that requires gain recognition or do the assets have liabilities attached to them? Maybe this link spells that out more simply: http://sherayzenlaw.com/cash-and-property-contributions-to-partnerships-and-their-affect-on-a-partnership-interest/ What you will have is a disconnect between the depreciation basis of the asset (that is also the contributing partner's tax basis) and his capital account (that is the FMV of the asset contributed). The following article is excellent and has examples of the contribution by 2 partners and how that is recorded, and goes on to show the effect on basis and capital accounts of each partner when a contributed asset is later sold: https://www.forbes.com/sites/anthonynitti/2017/08/15/tax-geek-tuesday-applying-section-704c-to-contributions-of-property-to-a-partnership/#5f60cc3b44ca Is this the same Sch C to LLC conversion that you asked about back in late July in this topic? If so, reviewing that discussion again may also be helpful.

Every tax bill has winners and loser. Of course, everyone is talking about the taxpayers in high tax states like CA, NJ & NY. Some of the less obvious ones are: 1. Families with more than 3 children especially if they are older than 16 due to loss of personal exemptions. 2. Families with children in college due to loss of education credits and student loan interest deduction. 3. The absolute worst is the loss of the medical expense deduction: I have a 97 year old client with dementia who has been in a memory care facility for the last 3 and 1/2 years. She has income of about $40,000 per year. Her medical expenses are over $7,000 per month which are all deductible, which of course reduces her taxable income down to zero. Under this bill her medical deductions would be zero, which means that she would be paying taxes on all of her income above $12,000 since the net effect of the increased standard deduction minus the lost personal exemption is only $400. Also families with parents or children who have chronic medical conditions that require expensive drugs with be be really slammed.