Tax Deadline is Tomorrow, But New Tax Bill Demands Changes for 2018

Those 2017 income tax forms are due in the mail tomorrow...we get two extra days today because April 15 fell on a Sunday, and today is Patriot's Day, which is a holiday in much of New England, News Radio 1200 WOAI reports.

But manager Hayley Almaraz at San Antonio's ATKG CPA's, says now is the time to make changes in your tax status to get ready for the taxes you'll pay one year from today, because that's why the touted tax reform bill approved by Congress in December will take effect.

"You should definitely fill out an updated W-4 with your employer, and your withholding should factor in all of those changes," she said.

Almaraz says many of her clients came to her expecting to see big changes in their tax rates this year due to the December law, but it doesn't take effect until the 2018 tax year.  She points out that the new withholding tables under the new law kicked in in February, and the new law will some with some reductions in the legal deductions which people need to know about.

"Meals and entertainment, for example, will start to phase out in 2018,” she said.  “You are used to being able to take 50% of those, so certain meals and entertainment deductions you won’t be able to take advantage of anymore.”

She recommends especially people with 1099 income, and people who own businesses, to check with their CPA to make sure they are maximizing their deductions in the new tax environment.

And it looks like, in 2018, tax filing day won’t mean a CPA’s work is done.


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