How Will President Biden’s Tax Plan Effect Me?
The Biden administration plans to release a new round of tax law changes based on the agenda detailed during his campaign. While we are yet to fully understand the implications of this law change involving Biden’s tax plan, his control of Congress makes his plan ever more likely. This plan focuses on increasing credits for moderate to lower income households, while significantly raising taxes on affluent households and corporations. We still are unaware of the extent of these law changes, but it is highly likely that some sort of change is on the horizon.
After experiencing frequent, and sometimes major, legislative changes in recent years (such as the TCJA, the SECURE Act, the CARES Act, and most recently, the American Rescue Plan Act), many people are understandably concerned about what changes could be imminent. High-income households, in particular, have been targeted for tax increases under Biden’s tax plan. Recommendations may be premature given that the full nature of these changes are still unknown. However, it is important to proactively prepare for potential future tax law changes. By familiarizing yourselves with President Biden’s tax plan and by discussing with your financial planner, you will be positioned to take action and seize planning opportunities when changes are implemented. If you are wondering where Shore Financial Planning can help, click here to see what a fiducairy advisor is and what we can do for you.
We have created this checklist to guide your conversations regarding the highlights of President Biden’s tax plan. Please take a look at this and the companion piece “As A High-Income Taxpayer, How Might President Biden’s Tax Plan Affect Me?” and consider how these resources may be of use to you during your discussions on how to plan for the uncertain future ahead.
As always, if you have any questions, feel free to contact our team. We’d love to discuss your goals and how we can help you reach them.
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