TAX REFORM 2024: MAIN CHANGES OF THE NEW TAX REFORM AND ITS SOCIOECONOMIC IMPACTS

Abstract

The panorama of accounting practices has undergone significant transformations following tax reform initiatives. As tax laws and regulations continue to evolve, accounting methodologies have had to adapt to ensure compliance and transparency. This work will delve into the impact of tax reform on accounting practices, the technological advances that have revolutionized the field, and the challenges and opportunities that have emerged in this dynamic environment. The impact of tax reform on accounting practices has been profound, with changes to tax laws and regulations requiring adjustments to accounting methods. Companies have had to reassess their financial reporting strategies to accurately reflect the tax implications of these reforms. For example, the reduction in corporate tax rates under the Tax Cuts and Jobs Act has led companies to revalue their deferred tax assets and liabilities. This change required closer alignment between tax planning and financial reporting to ensure accurate and transparent disclosures. Furthermore, the complexity of these new tax laws has led to a greater emphasis on tax compliance and the need for robust internal controls to mitigate the risks of non-compliance.