Plain Language of Changes:
- Taxes paid by individuals that are limited from January 1, 2018 until December 31, 2025
- An individual may claim an itemized deduction on Schedule A of Form 1040 up to $10,000 ($5,000 for married filing separately) for:
- state and local real property taxes;
- state and local personal property taxes;
- state and local income taxes (as well as state and local sales taxes taken in lieu); and
- foreign income taxes
- Foreign real property taxes can not be deducted
Detailed Analysis of Deduction Limitation for State & Local Taxes
Cordasco & Company PC is a boutique CPA firm specializing in federal and state tax issues. We provide customized tax and accounting services specifically designed to help our clients capitalize on the rapidly changing tax and accounting environments.
