Question:
Can I get a tax deduction for making my manufacturing plant accessible to our disabled employees?
Answer:
Better yet, your business may get a tax credit and possibly a deduction for the cost of certain expenses you incur accommodating disabled persons. If your business had under $1 million in gross receipts in 2017, the Architectural Barrier Removal tax deduction lets you deduct up to $15,000 a year and the Disabled Access Credit gives you a tax credit of up to $5,000, with the credit reducing the deduction in the same year. Talk to your accounting professional to learn more.
Question:
My daughter is paying private high school tuition for my two grandchildren. Is it true that I can take tax-free distributions from a 529 plan to help pay these costs?
Answer:
New federal tax laws allow tax-free distributions of up to $10,000 per student per year to pay tuition for elementary and secondary private and parochial schools. However, a few states still tax these distributions, and the limit may not even cover half of a high-priced school’s tuition. Take advantage of the new tax law, but also look into giving up to $15,000 annually tax-free to each grandchild (or $30,000 a year if you and your spouse make gifts).