Tag Archive for tax update

California Governor Newsome Signs Budget Deal Offering Taxpayer Funded Health Insurance To 3.3M Immigrants

California Newsome Signs Budget Deal Offering Taxpayer Funded Health Insurance To 3.3M Immigrants

We greatly appreciate feedback from the tax professional community on these measures.

Determined to make history, and scheduled to start in 2024, the State of California and its taxpayers are offering taxpayer-funded health insurance to its entire 3.3M  illegal alien population.The cost for health insurance for  California taxpayers is expected to be about $2.4 billion annually.  

California is also expanding their food stamp program for illegal immigrants, paid for by taxpayers. Here is the post from the Governor’s Office.

Californians’ Pockets and Investing in State’s Future

Published: 

SACRAMENTO – Governor Gavin Newsom today signed a $308 billion state budget that provides direct tax refunds for 23 million Californians to help address rising costs, tackles the state’s most pressing needs, builds our reserves, and invests in California’s future.

Here are the top 10 things you need to know about the budget:

1. “Cha-ching! You just received a deposit.”

Global inflation. Rising costs. It’s hard out there and we know it. So, we’re giving you $9.5 billion back. MILLIONS of Californians– 23 million to be exact – will benefit from up to $1,050, as soon as October! See if you qualify on the new Middle-Class Tax Refund calculator here.

2.  Don’t go into crippling debt over a hospital visit

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Written by | Posted in California Tax Update • Healthcare For Immigrants • TaxConnections

Rate Increase and Withholding of Tax on Dispositions for US Property Interests

TaxConnections Member Larry Stolberg

An important tax update was made regarding the rate increase and withholding of tax on U.S. property dispositions. On December 18th, President Obama, signed H.R. 2029, the tax (the “Protecting Americans from Tax Hikes Act of 2015”) and spending bills (Consolidated Appropriations Act, 2016) to fund the government for its 2016 fiscal year.

The December The Act increases the rate of withholding from dispositions of U.S. real property interests under §1445 from 10% to 15%, but remains at 10% for residences sold for less than $1 million.

The withholding exemption where the sale price is under $300,000US and the purchaser will acquire the property as their principal residence is still in effect.

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Written by | Posted in PATH Act • Tax Legislation • Tax Policy • Tax Updates

The PATH Act Significantly Enhances The R&D Tax Credit Program

Tax Advisor - Peter Scalise

On December 18th of 2015, President Obama signed into law a sweeping $1.14 trillion dollar funding bill that will keep the federal government operating through September 30th of 2016. In connection to the tax aspects of this comprehensive and pivotal legislation, the Protecting Americans from Tax Hikes Act of 2015 (hereinafter the “PATH Act”) accomplished considerably more than the typical tax-extenders legislation passed in previous years and truly signifies a dynamic paradigm shift as the PATH Act makes permanent over twenty leading tax incentives while extending other tax incentives over either a five year period or a two year period.

In particular, the PATH Act meaningfully enhanced the R&D Tax Credit Program (hereinafter “RTC program”) on a myriad of levels. As an overview, the RTC program was initially added to the U.S. Internal Revenue Code (hereinafter the “Code”) in 1981 through the Economic Recovery Tax Act of 1981 as a temporary provision of the Code. The RTC program had most recently expired on December 31, 2014. A tremendous paradigm shift to the RTC program was made possible through the PATH Act which not only renewed the RTC retroactively for all of calendar year 2015 but most importantly made the RTC program permanent. In addition, the enhanced RTC program has been considerably restructured to: Read More

Written by | Posted in Tax Legislation • Tax Policy • Tax Updates