The Topsy-Turvey World of Post-Tax Cuts and Jobs Act Planning

Ryan Gaglio, a shareholder in Stradling's Corporate and Tax practice groups, authored an article, “The Topsy-Turvy World of Post-Tax Cuts and Jobs Act Planning”, published in the Orange County Business Journal on March 5th. The article explains why the TCJA led to the increasingly popularity of C corporations over S corporations and partnerships. “The newfound advantages of a C corporation are clear: the top federal rate dropped to 21% and the cash method of accounting is now available until average gross receipts exceed $25 million. Add to these benefits 100% asset expensing and the ability to provide tax-free fringe benefits to shareholder/employees, and it is easy to see why C corporations are going to be more attractive at all stages of the business life cycle.” Read the full article below.