The new tax bill is huge and causing confusion in Utah
(KUTV)- With such a big tax bill, many Utahns are left feeling very confused.
Mike Hennessy is a small business owner in Salt Lake City. He’s the man behind “Badass Coffee”. Hennessy spoke with 2News Wednesday saying he’s nervous about the bill because he essentially doesn’t’ know how it will impact his own income.
Susan Spiers of the Utah Association of Certified Public Accountants, says even accountants themselves are scrambling to figure everything out – and they’ve got less than 2 weeks to do that before the New Year kicks in.
She says one big change will be concerning child tax credits – those will double from $1000 to $2000 per child.
If you itemize your deductions, changes include a decrease in the mortgage interest deduction.
Before mortgage interest on loans up to a million dollars could be deducted. Now, it’s down to $750,000.
Property tax write-offs will be capped at $10,000 which will obviously affect other states more, where property taxes are much higher.
If you don’t itemize deductions, and opt instead for the standard deduction, that will double from $6,000 for someone filing as an individual, to $12,000. If you’re filing jointly, it’ll jump from $12,000 to $24,000.