Business owners

Self-employed Americans with incomes above $315,000 – for a married couple filing a joint return, or $157,500 for all other taxpayers – will no longer be eligible to take advantage of the deduction for qualified business income if they are in a specified service trade or business – like health, law and accounting –  or if they are performing services as an employee.

Divorcing couples

As previously reported by FOX BusinessOpens a New Window., the new tax law modified the treatment of alimony payments.

Under the previous statute, the higher-earning spouse could deduct alimony payments on his or her tax filings. The recipient included the payments as part of his or her taxable gross income.

However, for divorces finalized in 2019 and after, alimony payments will no longer be a deductible expense for the payor.