OMA Connections Partner, RSM, has prepared a year-end tax planning guide that reflects the tax considerations and developments that it believes may create risk or opportunity for businesses in 2017 and beyond.
RSM indicates the most likely candidates for major tax changes that might be enacted in 2017 or 2018 include:
A middle-class tax break, possibly temporary
Reduced tax rates for repatriated foreign earnings
A possible move towards a territorial tax system for foreign corporate subsidiaries engaged in foreign business activities
A corporate rate cut
A rate cut for pass-through businesses that would be crafted to exclude personal services income
Possible limitations on state and local tax deductions and business interest deductions to help pay for the rate cuts
Changes favorable to capital cost recovery, but not as generous as full expensing for all depreciable assets.