QuickList for 2018

The Tax Cut and Jobs Act of 2017 has brought these changes

Itemized deductions:

• Medical/dental expense threshold remains at 7.5% AGI for one more year, reverts to 10% AGI in 2019.
• Tax category (real estate tax, state tax, excise tax) limited to 10K.
• Limit on NEW mortgages: deductible interest on up to 750K, existing loans retain 1M debt limit.
• No deduction for interest on equity loans/LOCs unless used for home improvements.
• No employee business/investment deductions (the "greater than 2% AGI" category).
• No theft losses; only casualty losses in presidential-declared disaster areas.
• Phaseout of itemized deductions at higher income eliminated.

Other changes:

• Elimination of personal exemptions but almost doubling of standard deductions.
• Child tax credit doubled and available to higher-income taxpayers.
• Other dependent $500 credit available (older dependents), nonrefundable credit.
• Health care penalty eliminated in 2019.
• Moving expenses only for military.
• As of 2019, new alimony contracts not a deductible expense nor taxable income.
• AMT to affect fewer taxapayers due to increases in its exemption allowance.
• 529 plan distributions can be used for elementary/high school (10K cap per student).
• Estate/Gift exemption doubled to $11,180,000 (very few will be subject to tax).
• 100% bonus depreciation through 2022, then allowable amount decreasing 20%/year.
• Business entertainment deduction (Schedule C) eliminated. Business meals remain.