Similarities and differences between House and Senate Versions of the Tax Cuts and Jobs Act

Both the House and the Senate have passed versions of the Tax Cuts and Jobs Act.  There are many similarities and some important differences that will have to be resolved through a legislative conference committee.  Some similarities include limiting the deductibility of mortgage interest, charitable contributions and property taxes (up to $10,000) and the doubling of the estate, gift and generation-skipping transfer tax exemptions from $5.6 million to $11.2 million in 2018.  Important differences include the tax brackets that apply to individual taxpayers, the taxation of pass-through entities (such as partnerships, LLCs and S corporations) and cost basis for sold securities.  It is anticipated that these differences will be resolved and that the Bill will become law before the end of the year, or in the first week or two of 2018.  Therefore, taxpayers would be wise to consult with their tax advisors to consider what steps they should be taking in light of their personal circumstances.