(Wednesday, Sept. 30, 2020; 9:30 PM EST) Should the Democrats win the White House and Senate on November 3, high-income individuals, along with those having estates valued at more than $1.1 million, will have to assess and implement tax reduction strategies before the end of the year. Complicating matters, the election results may be contested and delayed, making it even more important to be prepared to act swiftly.
President Donald Trump has not spelled out a comprehensive plan to cut the nation's soaring deficit and long-term debt, while Vice-President Joe Biden released a plan that would double the long-term capital gains tax rate from 20% to 39.7% and slash the lifetime tax exemption on gifts and estates from $11.6 million currently to $1.1 million. The Biden plan would also subject earnings of more than $400,000 to the 12.4% payroll tax.
The tax reduction techniques to be considered by high-earning business owners and professionals or individuals with estates worth more than $1.1 million are listed below. Please consider this call to action and contact us with questions.
Nothing contained herein is to be considered a solicitation, research material, an investment recommendation, or advice of any kind, and it is subject to change without notice. It does not take into account your investment objectives, financial or tax situation, or particular needs. Product suitability must be independently determined for each individual investor. Tax advice always depends on your particular personal situation and preferences.
The material represents an assessment of financial, economic and tax law at a specific point in time and is not intended to be a forecast of future events or a guarantee of future results. Forward-looking statements are subject to certain risks and uncertainties. Actual results, performance, or achievements may differ materially from those expressed or implied. Information is based on data gathered from what we believe are reliable sources. It is not guaranteed as to accuracy, does not purport to be complete, and is not intended to be used as a primary basis for investment decisions.
Any investments or strategies referenced herein do not take into account the investment objectives, financial situation or particular needs of any specific person. The material represents an assessment of financial, economic and tax law at a specific point in time and is not a guarantee of future results.
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