February 2018 | Volume IV
The Tax Cuts and Jobs Act passes, the first tax reform in the U.S. in 31 years
The Tax Cuts and Jobs Act was signed into law by President Trump in December of 2017, becoming the first tax code change in the nation in 31 years. With this bill, a typical middle-income family of four earning the median household income of $59,000 a year will receive a $1,182 tax cut.

For businesses, this new law will address multiple areas to benefit their overall success. This bill will:
  • lower the corporate tax rate to 20%, down from 35%
  • Reduce the tax rate on Main Street Job Creators to no more than 25%
  • Establish strong safeguards to distinguish between individual wage income and "pass-through" business income
  • Allow businesses to immediately write off the full cost of new equiptment to improve operations and enhance the skills of their workers
  • Protects the ability of small businesses to write off the interest on loans
  • Retains the low-income housing tax
  • Modernizes the international tax system so America's global businesses will no longer be held back by an outdated "worldwide" tax system.
  • Makes it easier and far less costly for American businesses to bring home foreign earnings to invest in creating jobs
For individuals, the tax cuts act means less money taken out of each paycheck.
  • The Tax Cuts Act nearly doubles the standard deduction. For individuals, the standard deduction will be increased to $12,000; for single parents, it will be increased to $18,000; for married couples, it will be increased to $24,000.
  • Many American families will be able to file their taxes on a single page
  • The Child Tax Credit will be doubled to $2,000 per child under age 17.

The Immigrant Worker Protection Act (AB 450) provides workers with protection from immigration enforcement while on the job and imposes varying fines from $2,000 to $10,000 for violating its provisions.

Under this law, it is unlawful for employers to reverify the employment eligibility of current employees in a time or manner not allowed by Federal Employment Eligibility Verification laws.

The Immigrant Worker Protection Act - New Employer Regulation in 2018
This bill would require an employer to provide a current employee notice containing specified information, by posting in the language the employer normally uses to communicate employment information, of an inspection of I-9 Employment Eligibility Verification forms or other employment records conducted by an immigration agency within 72 hours of receiving the federal notice of inspection.

This new law went into effect on January 1, 2018.

Confused about the new tax law? You are not alone.
Join us for the Connections Networking Lunch today!

Paul Goodnough, CPA, will talk about the good, the bad, and the ugly of the new tax law. Join us for a connections networking lunch on Tuesday, February 21st at 11:30 AM. Members $18/$20 at the door.

Don't miss out on this great opportunity.

Simi Valley Chamber
´╗┐Legislative Advocacy Forum

The Simi Valley Chamber Legislative Advocacy Forum (LAF) meets on the fourth Wednesday of each month to discuss current legislation and its impact on businesses. Staff from the state legislature, U.S. Congress, County of Ventura, and the City of Simi Valley attend these meetings.

Join us for the next meeting on Wednesday, February 28th at 8:00 AM in the Chamber.

Simi Valley Chamber of Commerce | 805-526-3900 | samantha@simichamber.org | simichamber.org