Tax Cut and Jobs Act (TCJA) | Inflation | Tax Attorney Lexington, KY

Inflation Adjustments Slowed

The new Tax Cut and Jobs Act (TCJA) uses “chained CPI” to measure inflation, which is a slower measure than that currently used. This means that deductions, credits and exemptions will be worth less over time because the inflation-adjusted dollars that determine eligibility and maximum value would grow more slowly. It would also subject more of your income to higher rates in the future.

If concerned with how “chained CPI” effects your tax situation, savings strategy, or investments, call Gayheart and Campbell, PLLC at 859-276-6193 or request a consultation here.  For more information about the TCJA’s provisions, visit our main informational page here.