The president has signed the new federal tax law on December 22. Here’s the latest tax briefing from Wolters Kluwer as of 12/22/17.
Governor Andrew M. Cuomo has signed an emergency Executive Order that will allow New Yorkers to prepay next year’s property taxes this year, before the new federal tax law takes effect. Payments must be postmarked by December 31, 2017. For more information, contact the tax collector for your county/locality.
The order authorizes localities to issue warrants for the collection of early property tax payments and to accept partial payment—allowing New Yorkers to pay a portion or all of their 2018 property taxes before the end of the year to keep the deductibility.
Check with each tax receiver to see if you’re eligible to make an early payment. The deadline is December 31, so you must act quickly.
Deadline for prepayment
Payments made by mail and postmarked on or before December 31, 2017, will be considered timely. If their county accepts online payments, you may pay online until 11:59 p.m., Sunday, December 31, 2017.
For more information, see Executive Order #172.
As the house and senate vote on the new tax law, here’s the latest tax briefing reflecting the provisions of the conference report. We will keep you up-to-date when there is more information available. Please click here to view the new agreed upon provisions: Tax Briefing by Wolters Kluwer
Although the final version of the new tax law has not been passed, we know the conference report has the provision that the nonbusiness deduction for state and local taxes (SALT), including sales tax, will be limited to $10,000 (married filing joint and $5,000 married filing separately) next year. There is also uncertainty as to the tax changes the states may make in 2018.
Therefore, please consider prepaying your 2017 state taxes and real property taxes before the end of the year. This would include state income taxes you would owe in April and real property taxes on your principal residence and vacation home that are due. The proposed bill has a provision that you cannot deduct prepaid 2018 state and local income taxes and real property taxes not assessed in 2017.