Guessing youre talking about AMT, which was significantly raised such that most of us shouldn't have to deal with it.

I was able to save quite a bit with per diem each year, though I can't give you any numbers. I was just starting to pay AMT.

I think the biggest difference for me is the cap on state and local taxes. Hadn't assumed it would be a big issue living in Georgia, but when I added it up, I'm losing a huge deduction.

Quick math shows I will be a few percent ahead of last year on total taxes, mostly due to having 3 school age kids. Curious to see how it works out.

 

Other things NOT deductible:
Union/Association dues
Uniform purchase and upkeep (no more dry-cleaning deductions)

 

Sort of off the subject....has anyone received their W2 via email yet? The version we had to sign up for before year end.

Thanks

 

No. Hopefully any day...

 

Cool, thanks.

 

LOL really.

I don't know where he works, but to get to a number like that he has to travel a lot obviously. I can't think of any airline/flight department that pays zero per diem/expenses of any kind that makes you travel that much (or any amount). So it isn't just 18K, its 18K above and beyond whatever per diem he gets in whatever form.

What seems like the most obvious answer is that he was pushing up against the limits of what's allowed (assuming all still technically legit) using every creative trick and interpretation imaginable. Good for him. Seriously. But part of the new law's purpose was to simplify things and roll back some of the asinine hoops people have to jump through while lowering the rates and brackets. Not to mention that many of the offsets in it could have been avoided had there been just a few percentage more votes to avoid the limits imposed on it by the reconcillation structural limitations but I digress.

I'd be in favor of a complete elimination of mortgage interest and especially all college expenses and 529 scams in exchange for another lowering of rates and brackets. But just like the flat tax in the 90's, even if you sit someone down and prove to them mathematically that they'll save more that way, they will squeal in refusal because they value their savvy deductions more than the money those deductions actually saved them.

Funny thing is its all irrelevant in the long run anyway. How much do we pay in debt interest, and what will that amount be in 10+ years regardless which party "runs" things? Assume closer to 30T, and calculate that on historicly reasonable interest rates of 5ish% and get back to us LOL.

There is absolutely no chance it will work out. Its not mathematically possible.

 

Rates will increase each year.

Not to mention trillion dollar annual deficits.

 

What did they increase to for 2019?

 

^^^^^This! I haven’t used that deduction in years for the same reason. Every dollar saved was immediately offset by AMT.


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Keep in mind if you live in a state with income tax you still wanted to input every writeoff as most states dont account for AMT. You may have increased any state taxes.