Hedge Connection is pleased to bring our readers Tax Tips, a series of articles by the full service accounting and advisory firm, Baker Tilly.
As we reach the middle of 2017, we have seen some movement on tax reform as well as the potential repeal and replacement of the Affordable Care Act (ACA), yet actual passage of either remains far from certain. Tax reform hearings are just underway in the House of Representatives and, while the repeal of the ACA has moved on to the Senate, we expect each to be a slow process lasting much of the balance of the year.
With this in mind, we focus our midyear letter on state and local tax changes as states are becoming increasingly proactive in locating additional sources of revenue and definitions of nexus are constantly evolving. We also discuss the new financial statement revenue recognition process and how it impacts revenue when it is taxed for federal income tax purposes.
As always, we remind you that tax planning should be addressed throughout the year and be an integral part of financial planning. We encourage you to contact your Baker Tilly advisor to discuss how these issues affect your tax position.