THE TAX CUT AND JOBS ACT, 2017

What are the major changes made to the tax provision by the Act? With the new reform which requires several valuations of players, the accountants will also have a problem. As the accounts establish the value of several players, they will need to factor in tax and depreciation factors. The accountants will be required to incorporate the new tax rates in their deferred tax balances. This is very challenging as their other tax-deferred balances were inclined to modern standards. In the current situation, the accountants in the sports franchise will not have to affect the tax deferment factors since it has been eliminated, but all the balances will be subject to the new rates. The accountants are also required to adjust the effect of the change in tax laws to the assets. This means that the accountants will require new guidelines on how to effect the transition to the asset in line with the GAAP from FASB. The need to understand how the accounting will be affected by the intangible low taxed income will present a problem to the accountants.