A panel of speakers including Congressman James Comer talked about recent federal tax reform and how it is and will impact businesses and workers during a Christian County Chamber of Commerce JAM Session Thursday morning.
Certified Public Accountant Earl Calhoun of Calhoun and Company says the legislation is complex and affects different types of businesses and industries in different ways. He says most business owners will need professional assistance to determine any moves that might better position them in the new tax code.
Specifically, Calhoun cited differences in exemptions and depreciation statutes for equipment, vehicles and buildings among different types of businesses and industries. He says the tax reform legislation will allow low wage earners to bring home more money, but believes it was written first and foremost to help businesses.
The corporate tax rate is reduced to 21 percent and the corporate alternative minimum tax was repealed in the bill.
Holly Bivins of Edward Jones Financial Planning agrees with Calhoun that most business owners likely already have a team in place that can position them best in the new tax code.
Congressman Comer says he recently met with factory workers in Russellville who say they are bringing home an extra $40 each week after tax reform.
Many of the provisions relating to individuals expire at the end of 2025.