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Our new expanded analysis highlights the cumulative increase in full-time equivalent jobs for each year from 2018-2027 thanks to the Tax Cuts and Jobs Act (TCJA).
Here are some of the key findings:
-The U.S. economy will add up to 1.4 million new jobs by 2025, due to the Tax Cuts and Jobs Act.
...-Federal tax reform will spur an increase in jobs in every state.
-The cumulative jobs figure begins to decline, falling to 1.22 million new full-time equivalent jobs in 2027, due to the expiration of many provisions in 2025.
-The TCJA will result in an increase of 339,000 jobs in the long run, which reflects the ultimate effect of the tax plan after all the economic effects phase in and the individual provisions phase out.
While the expiring provisions in the new bill reduce our jobs predictions from their peak, the Tax Cuts and Jobs Act will create net new jobs in the long run.
Making the new individual income tax provisions permanent would reverse this trend, resulting in 1.5 million jobs in the long run.
See more analysis here: https://tax.foundation/2n4aT5U
Use our new interactive tool: https://tax.foundation/2v8i1Tk
The IRS issued its proposed state and local tax (SALT) deduction cap regulations yesterday, moving to block the workaround strategies that states like New York, New Jersey, and Connecticut have pursued to help high-income taxpayers by recharacterizing state and local tax payments as charitable deductions.
Under the new IRS guidance, state-incentivized contributions to charitable organizations will remain highly attractive, but taxpayers won’t be able to claim a federal deduct...ion for the portion of their contribution fully offset by a state credit.
The newly proposed regulations would continue to allow a full deduction for charitable contributions for which state provide a dollar-for-dollar charitable deduction, but not for those incentivized with a tax credit.
In the wake of this new guidance, any state wishing to continue its fight will be placing political performance theater over the interests of the taxpayers who have to foot the bill.
Read more: http://bit.ly/2LmDoFt
