There have been a ton of questions, rumors, concerns, and even hysteria over the GOP tax plan, and what it means to tax paying Oregonians.
From what I can tell, the GOP tax plan should benefit most Oregonians, regardless of what side of the political isle you sit.
On Wed. December 20, 2017, President Trump and congress celebrated the passage of The Tax Cuts and Jobs Act. Although we have seen our share negativity from some of news media and political blog posts, looking for clicks. Could it be that the new tax bill just might not be as bad for Oregonian homeowners as some would make it out to be?
There is a saying, “fear and bad news sells.” Don’t believe me? Just turn on the news.
What The GOP Tax Plan Really Means To Oregonians
Let me first start by saying this is not a comprehensive breakdown of the entire Tax Cuts And Jobs Act, and I did not write this post to argue left vs. right or who’s party is best. I only wrote it to point out what I believe are 4 benefits the GOP tax plan offers for Oregonians.
With that said, the final bill keeps much of what I, as a real estate professional and homeowner in Roseburg Oregon, believe to be important items, in regards to Oregon tax paying homeowners.
Below, I have outlined just 4 features of the GOP tax plan to explain what it means to Oregonians.
(These are my opinions. I am not a tax accountant or CPA, and I am not giving tax advice. I am just relaying on some of the key points I have learned through my own research of the 2017 GOP tax plan.)
4 Benefits Of GOP Tax Plan For Oregonians:
- Capital Gains Exclusion. Exclusion of capital gains on the sale of a home and the exchange of like-kind investment real property.Significant deduction on income for people who earn income as an independent contractor (like REALTORS®) and others who earn from pass-through businesses.
- Double Standardized Deduction. The Tax Cuts and Jobs Act doubles the standard deduction. For this reason, there will likely be fewer average income Oregonians itemizing deductions.
- Home Interest Deduction Stays. Yes, the home interest deduction is still available, if you wish to use it (up to $10,000). However, itemizing may not be as appealing as it once was with the new double-size standardized deduction. Make sense? I recommend talking to your tax pro.
- No More “Death-Tax.” The new tax plan eliminates the federal estate tax, commonly known as the “death tax,” a tax on property transferred after the owner’s death.
True, not all homeowners in all states will benefit from the GOP tax plan. States like California and New York, and others migh not see the same benefits that we do in Oregon. However, I did not write this post to discuss those states, only Oregon.
In short, I believe most homeowners in Oregon will benefit, regardless which side of the political isle you’re on.
Not a homeowner yet? Let’s fix that! Contact me here.