Personal & Business Taxes
NEWS YOU CAN USE
FOR TAX YEAR 2019
• No age limit to IRA contribution, as long as you have earned income. You can also do a “catch up” contribution.
• 529 Educational Savings Plan: withdrawals can be used for “trade school” such as plumbers, electricians, welding school, or any certified apprenticeship program.
• Medical expense 7.5% AGI floor (instead of 10%)
- Business loss: Schedule C or K-1 flow-through, limit: max allowed in one year 500,000 MFJ; 250,000 single. (IRC Sec 461(1). Remainder of loss CF at 80% NOL.
- Business incentive provisions and energy incentive provisions for improvements
- Qualified Business Deduction: “Self-Rental” is a trade or business except with a C corporation or a specified service business. (A real estate professional qualifies already as a trade or business. Triple Net lease property does qualify for the QBI adjustment. (You must have regular activity with the property.)