Additional Tax Breaks To The $1.5 Trillion Tax Cut Package

If the business plans to hire employees, it is required to obtain a Tax ID. Even if there are no employees, partnerships, corporations, non-profit organizations, trusts and estates must apply for the Tax ID. The process is not complicated or confusing because the business owner only needs to access the internet for the Georgia Tax ID Form and fill up the application form.

Two months, the US Congress passed the $1.5 trillion tax cut; however, new tax benefits that did not make it to the Republican-backed tax overhaul can pass the Senate with a simple majority of 51 votes. Wedged into the new massive Senate spending deal is a number of tax breaks for homeowners and owners of electric cars.

Tax relief was also provided to individuals and businesses that were impacted by California fires and the devastating floods in Texas, Florida, Puerto Rico and the US Virgin Islands. Racehorse owners will also enjoy tax breaks. Tax relief for areas that suffered from disasters and the extension of benefits for homeowners and energy savers were very popular among the lawmakers from the Republican and Democratic parties. It has also help sweeten the deal among the Democrats who rejected the GOP tax plan.

Proposed extension of tax benefits to homeowners include deductions in the mortgage insurance premiums, exclusion from income of some foreign debts on mortgages, deductions for qualified tuition and related expenses for higher education. Tax credits will be provided to homeowners who made improvements for energy efficiency through solar panels, windows, skylights, water heaters and heat pumps.

Proposed credit of $1,000 to $2,000 will be provided for building or selling energy efficient homes while $4,000 to $40,000 credit will be provided for the purchase of new hydrogen cell-fuelled vehicles. Also extended will be credit for 10% of the amount paid for purchasing a new 2-wheeled plug-in electric car.

However, before a business enjoys all those tax reliefs, it is important to access Georgia Tax ID Form from the IRS website and apply for a Tax ID. The Tax ID is a unique 9 digits number that identifies the business for tax purposes. You can check the IRS website if the legal structure of your business requires the Tax ID.

Post Author: gerardksmith