Final regulations from the Internal Revenue Service (IRS) may impact the application of pass through income deductions for financial professionals. The Tax Cuts and Jobs Act (TCJA) is one of the most sweeping tax changes in 35 years. It provided major tax benefits for financial services businesses along with lower taxes for many individuals.

Tax Cut and Jobs Act (TCJA); short for “An act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018.” What a mouthful! I think we will stick with TCJA. One of the major areas of complexity in this new law, is its application to pass through entities. 

lFinancial professionals should first have a basic familiarity with the Tax Cuts and Jobs Act (TCJA) to evaluate the potential strength of a split-dollar strategy. It is important to know that many clients may have more cash for family protection and retirement planning because of tax reduction. When working with businesses it can be even more important. Many businesses that could not afford executive benefits in the past are now able to afford them.

In the last few years, annuity production industry-wide has been in a state of flux. Many factors have impacted our industry including a complex and changing interest rate environment, strong stock market and lastly the now abandoned Department of Labor (DOL) regulations. Recently, the Life Annuity Specialist panel brought together noted industry thought leaders to look at the future. Here is an overview of what they shared and what it could mean for your business.