response post (150 word minimum) for each article

1-On December 1, 2017, the United States Senate has enacted its variant of the Tax Cuts and Jobs Act. The plan cuts the corporate tax rate from the 35 percent to 20 percent in 2019. The House plan does as such in 2018. The two plans reduce the wage tax rates, twofold the standard deduction, and take out individual exemptions. Among people, it would help the families having higher pay. Everybody gets a tax cut in 2019. In any case, in 2021, taxes will increment on those making $30,000 or less. That is on the grounds that the deductions and credits they lose won’t compensate for the lower tax rate. By 2023, expenses will ascend on everybody who makes under $40,000 a year. The tax cuts terminate in 2025. Subsequently, all salary levels will pay higher taxes in 2027. That is as per the latest analysis of the Senate plan by the Joint Committee on Taxation. The best part is that the expansion in the standard deduction will provide an advantage to 6 million taxpayers. That is 47.5 percent of all tax filers. Numerous substantial partnerships affirmed they won’t utilize the tax slices to make employment. Chief Executive Officer of Cisco, Pfizer, and Coca-Cola would rather utilize the additional money to pay dividends to investors. Middle-class tax cuts will help in more occupations. The decrease in corporate tax means the merchandise or goods will be available at lesser prices. On the other hand, neither of the plans helps the families with the lowest income. That is on the grounds that more than 70 million Americans don’t make enough to pay taxes. The designs additionally don’t help the third of taxpayers who have livelihoods that fall underneath current standard deduction and individual exclusions. (Amadeo, 2017) Financial accounting software pioneers like Intuit and Xero have officially computerized forms from billing to money installments. The new tax plan will surely have an impact on the accounting industry. Tax reform may make it easier for many of the clients to do their returns on their own. Hence, this means that there is slightly negative impact on accounting industry. (Marks, 2017)

The biggest challenge that accounting profession will face in future is lack of jobs. A person who is supposed to pay the taxes can easily identify the category he falls in as per the income per annum. This means if the annual income of a single person is $50,000 per annum, then he/she is supposed to pay 25 percent taxes, similarly if joint or married people are earning $50,000 per annum, then the tax rate is 12 percent. If people can calculate their taxes of their own, then the need for accountants will decrease in future. Xero, in especially, is creating artificial intelligence to recommend the correct record codes for recording exchanges without human contribution. Fintech stars like Bill.com and EntryLess are robotizing creditor liabilities information passage utilizing optical character recognition (OCR) by having the capacity to “peruse” and afterward process filtered bills and solicitations sent to an accounting division. Indeed, even organizations like Avalara are robotizing how web-based business and different firms gather, document and pay their business tax. The other biggest challenge is accounting software and preparedness for the software. Different organizations are yet to delineate accounting software and Information Technology frameworks in accordance with the new tax arrangements. Tax and bookkeeping experts mutually need to guarantee that their customers’ present frameworks are perfect with new tax law. Forensic accounting is a form of investigative accounting which looks at budgetary records so as to discover confirm for a lawsuit or criminal indictment. The role of specialties will slightly increase in future. The main purpose is to identify the fraud activity. Let us assume that the person has earned $50,000 per annum, but didn’t paid the taxes although he is aware of his tax category and the amount to be paid. The negligence by such people can be identified by the department of forensic accounting, who regularly tracks the record of income of people and the taxes paid by them. While, few of the specialties may have increased roles and responsibilities.

2-In my perspective, I think it’s a good idea for Tax Cuts for individuals. However, this may affect the economy of the country in the long run especially if the taxes generate a large portion of the profits. I like the part about corporate tax; indeed, it’s true that that part may have a negative impact on the economy. However, this will keep many corporates to operate in the country instead off going overseas like what Apple does. Apple is a very successful and wealthy company. It generates a profit of billions of dollars every year. Apple preferred to operate overseas in Ireland instead of the U.S. because of the high corporate tax rate. Apple made a deal with Ireland to pay a meager percentage of tax. In the new tax plan, Trump wanted a 15% corporate rate but settled for 20%, which was in the past 35%.

President Trump recently said about the new tax plan that it would be “fair, simple and easy to understand.” What did he mean?
According to Marks, 2017, “Depending on what legislation ultimately gets signed by the president, as I see it tax services like H&R Block could indeed suffer in the future.” The simplest of the new tax reform may make it easier for many of the clients to do their returns on their own.

A conclusion from a new analysis conducted by software selection service GetApp Opens a New Window. Their research indicates that it will be new technologies – and not only tax reform – that will soon replace many of the functions being performed by today’s accountant. Which means that CPAs should be prepared.