Tax Beat: Tax Rate Increases in the American Families Plan
May 5, 2021
This episode of the Tax Beat highlights the income tax provisions proposed in the American Families Plan. The White House staff released the Fact Sheet: The American Families Plan and President Biden introduced the Plan to Congress in a speech on April 28, 2021. Hosts Brooks Nelson and Sarah McGregor discuss the Plan with their fellow Cherry Bekaert tax professionals, Mike Kirkman, Leader of the Firm’s Estate Gift and Trust practice, and Barry Weins, Director specializing in corporate tax and transactions tax services. The team reviews the potential impact of proposed tax rate increases for higher-income taxpayers, and addresses several questions raised by the American Families Plan:
Who will pay the higher tax rates?
How will the rate changes impact the sale of a business?
Should business owners reconsider the tax entity choice for their operations?
What tax savings actions are taxpayers planning now?
Topics discussed include:
2:05 Overview of The American Families Plan and tax provisions
5:20 Impact of proposed tax rate increases
9:18 Higher tax rates may impact sale of a business
12:56 Choice of business entity
21:08 Estate Gift and Trust provisions
27:24 Closing loopholes and increasing IRS enforcement