The Tax Cuts and Jobs Act: Introduction: It's complex, sometimes unclear, but undeniably important.

• Position: COVER FEATURE

In 2017, the Tax Cuts and Jobs Act was signed into law--the most extensive tax reform legislation enacted in more than three decades.

The measure is having a dramatic impact on both individuals and corporations. The statute's laundry list of provisions significantly affect corporate taxpayers, according to the Tax Foundation, including provisions that:

* reduce the corporate income tax rate from thirty-five percent to twenty percent;

* eliminate the corporate alternative minimum tax;

* tax pass-through business income at a maximum rate of twenty-five percent, subject to anti-abuse rules;

* allow for capital investment, except for structures, to be fully and immediately deductible for five years, and increase the Section 179 expensing limit from $500,000 to $5 million, with an increased phaseout threshold;

* limit the deductibility of net interest expense on future loans to thirty percent of earnings before interest, taxes, depreciation, and amortization for all businesses with gross receipts of $25 million or more;

* restrict the deduction of net operating losses to ninety percent of net taxable income and allow net operating losses to be carried forward indefinitely, increased by a factor reflecting inflation and the real return to capital;

* eliminate net operating loss carrybacks;

* eliminate the domestic production activities deduction (Section 199) and other business deductions and credits; and

* create a territorial tax system, exempting from U.S. tax 100 percent of dividends from foreign subsidiaries.

Of course, this...