A Few Highlights Of The Tax Bill For NJ Real Estate

Dated: December 28 2017

Views: 570

The buzz-phrase for the end of 2017 was certainly “Tax Bill”. After a few revisions, here are a few things to ponder over President Trump’s tax bill and how it will affect New Jersey Real Estate and Home Sales at the Jersey Shore.

Most of the breaks for middle-class taxpayers expire in 2025, though the corporate tax cuts are permanent. The changes won't affect your 2017 tax returns, but Trump says the lower rates could be felt in paychecks early in 2018.

Capital gains exclusion.

In a huge win for current and prospective homeowners, current law is left in place on the capital gains exclusion of $250,000 for an individual and $500,000 for married couples on the sale of a home. Both the House and the Senate had sought to make it much harder to qualify forthe exclusion.

Mortgage interest deduction.

The maximum mortgage amount for households deducting their mortgage interest has been decreased to $750,000 from the current $1 million limit. The House bill sought a reduction to $500,000.

State and local tax deductions.

 Both property taxes and state and local income taxes remain deductible, although with a combined limit of $10,000. Both the House and Senate bills sought to eliminate the state and local income tax deduction altogether.

*Estate tax

The tax that falls only on the richest two of every 1,000 American estates, virtually none of them family farms or small businesses, will now apply only to inheritances of at least $22 million for couples, double the current threshold.

*Moving expenses

Unless you're in the military, you no longer can deductyour moving expenses. Also gone are deductions for paying someone to do your taxes.

*Property damage

Except for presidentially declared disasters, you won't be able to deduct losses from property damage due to storms, fire or flooding.

Latest Blog Posts

Is It Time For A Digital Detox

After months of switching between your big screen and little mobile screen you might be feeling some virtual fatigue. Taking time off from tech is a good way to reset and improve your day to day

Read More

Appraisal Gaps In Long Beach Island NJ Real Estate Market

 Appraisal Gaps in Long Beach Island NJ Real Estate MarketLong Beach Island Real EstateIn the LBI NJ real estate market, appraisal gaps can be tricky for buyers and sellers. The

Read More

7 Trick Or Treating Safety Tips

7 Trick or Treating Safety Tips1. If possible, wear bright colors. 2. Use glow sticks or reflective tape for costumes and treat bags. 3. Go to well-lit areas and houses with

Read More

Five Reasons To Invest In The LBI New Jersey Real Estate Market

 Five Reasons to Invest in the LBI New Jersey Real Estate MarketLong Beach Island Real EstateBuying a home is one of the most significant decisions you will ever make. Long Beach

Read More