Six key changes under the
tax reform plan

The tax reform changes went into effect on
Jan. 1, 2019.

1
Standard Deduction Increases
No matter your filing status, the standard deduction increases 2019.

Single and Married Filing Separately: $12,000
Married Filing Jointly: $24,000
Head of Household: $18,000
2
Personal Exemption Eliminated
Under the tax reform, taxpayers can no longer claim the $4,050 personal
exemption for each of their dependents.

3
Child Tax Credit Rises
The Child Tax Credit increases in value from $1,000 to $2,000. The tax
reform bill also introduces a new $500 credit for non-child dependents.

4
Tax payer is allowed to deduct up to $10000 for local and state income tax
paid during the year 2019

5
Penalties for individuals who did not had a health insurance coverage is no
longer effective.

6
Home mortgage interest deduction was reduced to $75000

The tax reform bill keeps the same seven tax bracket structure, but most
taxpayers will see lower tax rates.
The income thresholds were also adjusted.

                   
2019 Income Tax Brackets

Tax Rate        Individual        Married Filing Separate        Head of Household        Married Filing Join
10%              $0 - $9,525               $0 - $9,525                                $0 - $13,600                $0 - $19,050
 12%        $9,526 - $38,700           $9,526 - $38,700              $13,601 - $51,800            $19,051 - $77,400
   22%        $38,701 - $82,500         $38,701 - $82,500            $51,801 - $82,500            $77,401 - $165,000
      24%        $82,501 - $157,500        $82,501 - $157,500         $82,501 - $157,500          $165,001 - $315,000
      32%        $157,501 - $200,000      $157,501 - $200,000        $157,501 - $200,000       $315,001 - $400,000
       35%        $200,001 - $500,000      $200,001 - $300,000        $200,001 - $500,000        $400,001 - $600,000
37%        over $500,000                 over $300,000                  over $500,000                   over $600,000



Important Days to Remember


March 16

Partnerships. File a 2019 calendar year
return (Form 1065).
Provide each partner
with a copy of their Schedule K-1 (Form
1065), Partner's Share of Income, Deductions, Credits,
etc., or substitute Schedule K-1 (Form 1065).
To request an automatic 6-month extension
of time to file the return, file Form 7004. Then
file the return and provide each partner with a
copy of their final or amended (if required)
Schedule K-1 (Form 1065) by September 15.
S corporations. File a 2019 calendar year
income tax return (Form 1120-S) and pay any
tax due. Provide each shareholder with a
copy of their Schedule K-1 (Form 1120-S),
Shareholder's Share of Income, Deductions,
Credits, etc., or substitute Schedule K-1


(Form 1120-S).
To request an automatic 6-month extension
of time to file the return, file Form 7004 and deposit
what you estimate you owe in tax. Then
file the return; pay any tax, interest, and penalties due;
and provide each shareholder with a
copy of their Schedule K-1 (Form 1120-S) by
September 15.
S corporation election. File Form 2553
to elect to be treated as an S corporation beginning with
calendar year 2020. If Form
2553 is filed late, S corporation treatment will
begin with calendar year 2021.


March 31
Electronic filing of Forms 1097, 1098, 1099,
3921, 3922, and W-2G. File Forms
1097, 1098, 1099 (except a Form 1099-MISC
reporting nonemployee compensation),
3921, 3922, and W-2G with the IRS. This due
date applies only if you file electronically.
Otherwise, see February 28, earlier.
The due date for giving the recipient these
forms generally remains January 31.
For information about filing Forms 1097,
1098, 1099, 3921, 3922, and W-2G electronically, see
Pub. 1220.
Second Quarter
The second quarter of a calendar year is made
up of April, May, and June.

April 10
Employees who work for tips. If you received $20 or
more in tips during March, report them to your
employer. You can use
Form 4070.


April 15
Individuals. File a 2019 Form 1040 or
Form 1040-SR and pay any tax due. If you
want an automatic 6-month extension of time
to file the return, file Form 4868 and pay what
you estimate you owe in tax to avoid penalties and
interest. For more information, see
Form 4868. Then, file Form 1040 or Form
1040-SR by October 15.
Individuals. If you’re not paying your 2020
income tax through withholding (or won't pay
in enough tax during the year that way), pay
the first installment of your 2020 estimated
tax. Use Form 1040-ES. For more information, see Pub.
505.
Household employers. If you paid cash
wages of $2,100 or more in 2019 to a household
employee, you must file Schedule H
(Form 1040 or 1040–SR), Household Employment Taxes.
If you’re required to file a
federal income tax return (Form 1040 or
Form 1040-SR), file Schedule H (Form 1040
or 1040-SR) with the return and report any
household employment taxes. Report any
federal unemployment (FUTA) tax on Schedule H (Form
1040 or 1040-SR) if you paid total cash wages of $1,000
or more in any calendar quarter of 2018 or 2019 to
household
employees. Also, report any income tax you
withheld for your household employees. For
more information, see Pub. 926.
Corporations. File a 2019 calendar year
income tax return (Form 1120) and pay any
tax due. If you want an automatic 6-month
extension of time to file the return, file Form
7004 and deposit what you estimate you owe
in taxes.
Corporations. Deposit the first installment
of estimated income tax for 2020. A worksheet, Form
1120-W, is available to help you
estimate your tax for the year.


May 11
Employees who work for tips. If you received $20 or
more in tips during April, report
them to your employer. You can use Form
4070.

June 10
Employees who work for tips. If you received $20 or
more in tips during May, report
them to your employer. You can use Form
4070.


June 15
Individuals. If you’re a U.S. citizen or resident alien
living and working (or on military
duty) outside the United States and Puerto
Rico, file Form 1040 or Form 1040-SR and
pay any tax, interest, and penalties due.
Otherwise, see
April 15, earlier.
If you want additional time to file your
return, file Form 4868
to obtain 4 additional months to file and pay
what you estimate you owe in tax to avoid
penalties and interest. Then, file Form 1040
or Form 1040-SR by October 15.
However, if you’re a participant in a combat
zone, you may be able to further extend the filing
deadline. See Pub. 3, Armed Forces' Tax
Guide.
Individuals. Make a payment of your
2020 estimated tax if you’re not paying your
income tax for the year through withholding
(or won't pay in enough tax that way). Use
Form 1040-ES. This is the second installment
date for estimated tax in 2020. For more information, see
Pub. 505.
Corporations. Deposit the second installment of
estimated income tax for 2020. A
worksheet, Form 1120-W, is available to help
you estimate your tax for the year.
Third Quarter
The third quarter of a calendar year is made up
of July, August, and September.


July 10
Employees who work for tips. If you received $20 or
more in tips during June, report
them to your employer. You can use Form
4070.


August 10
Employees who work for tips. If you received $20 or
more in tips during July, report
them to your employer. You can use Form
4070.
Page 4 of 13 Fileid: …
tions/P509/2020/A/XML/Cycle08/source 10:52 - 3-Dec-
2019
The type and rule above prints on all proofs including
departmental reproduction proofs. MUST be removed
before printing.
Page 4 Publication 509 (2020)

Genesis Accounting and Tax Services
2431 Aloma Avenue, Orlando FL 32792
321-444-2334, 407-512-1300