Tax accountant and CPA, Keith Huggett explains importance of accounting firms regarding new small business tax legislation – Roseville, CA

Keith Huggett, CPA and founder of Next Level Accounting & Tax in Roseville, CA, has just revealed how important small business accounting firms are going to be for business owners, in light of the new tax reform.

Roseville, California, United States – February 28, 2018 /MM-REB/ —

In a recent interview, accountant and CPA Keith Huggett, founder of Next Level Accounting & Tax in Roseville, CA, has just highlighted the important role accountants will play in navigating changes in the new tax code.

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The Tax Cuts and Jobs Act of 2018, which came into effect on January 1, brought about changes to the existing tax system.

When asked to comment, Huggett said, “The new law introduces sweeping changes that will impact nearly every taxpayer. Due to the nuances of the changes, the best thing to do is to contact an experienced tax accountant to learn whether or not you’ll save on next year’s return.”

Huggett added that the new legislation will not only have some effect on the upcoming 2018 tax season but the main effects will be felt all the way through to 2025 when they will be up for review.

The new tax reform, according to Huggett, will come as welcome news to most pass-through businesses, which comprise nearly 95% of all businesses in the US. Pass-through entities include LLCs, partnerships, S corps, and sole-proprietorships.

“That being said, certain Specified Service Businesses may not qualify under the new guidelines,” Huggett added.

“The Tax Cuts and Jobs Act of 2018 stipulates that small business owners can now deduct up to 20% of what’s called ‘qualified business income.’ While many pass-through entities can take advantage of this, they might not know how,” he said.

Huggett also pointed out that an experienced CPA can craft the best tax strategy possible for small business owners to benefit from these new deductions.

Changes at the individual level, Huggett said, will also require some expertise. Some of the most significant changes include lower tax rates on personal income, an increase in standard deductions, and a hold on itemized deductions.

“With so many variables at play, a tax expert can help you understand how to play your cards right,” Huggett said.

The amount withheld by payroll after complying with the new tax code will be clarified in the coming weeks.

At the end of December, the IRS stated that the “use of the new 2018 withholding guidelines will allow taxpayers to begin seeing the changes in their paychecks as early as February.”

“Most people’s medium- to long-term financial plans are based on the old tax scheme. Although the changes to the new tax code were sweeping, most of our clients won’t have to make drastic changes to their plans, only slight adjustments right now,” Huggett added.

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Contact Info:
Name: Keith Huggett
Organization: Next Level Accounting & Tax
Address: 983 Reserve Dr, Roseville, CA 95678
Phone: (916) 960-9800

For more information, please visit http://nlati.com/

Source: MM-REB

Release ID: 306578