Tax Cuts and Jobs Act – 4 ways tax reform could benefit U.S. manufacturers
Abstract: The Tax Cuts and Jobs Act (TCJA) is long and complicated. Its effects will vary from business to business, depending on each one’s structure and the nature of its operations. This article highlights four major changes that are likely to save taxes for manufacturers starting in 2018: 1) a lower tax rate for C corporations, 2) lower tax rates for individual owners of pass-through entities, 3) changes to the alternative minimum tax (AMT) rules, and 4) expanded first-year Section 179 and bonus depreciation deductions. On the flip side, a sidebar identifies unfavorable TCJA provisions.