Not many slow news days in Washington.
The broadcast and print media are all fired up for 2022. This year has noise on a lot of levels. Taxes, interest rates, Russia, Ukraine, China, Mid-Term elections, Climate Change, Pandemic, Variants, housing prices, immigration and our borders, the supreme court, redistricting congressional seats and a whole lot of other typical political stunts that resurface every few years.
There are times that I wonder if all these issues are merely a distraction. We all have different interests. Some go left, some go right and others don’t go anywhere at all. The 24/7 news world that we live in is getting loud, and there are so many advocates that can talk louder and bigger than the other, that I find it very difficult to know who to believe. Is there anyone who can just report the facts, and let us decide what side to take?
Take the tax proposal, for example. I see how many acknowledge that the US Government may need more money to operate, and that may lead to higher taxes. On the other hand, I see people who have paid millions in their lifetime, with more millions to be paid from their estates who would rather not see taxes go way up.
After last year’s bold attempt to radically change the tax code couldn’t muster enough support to become law, they’re at it again. This time also looks like an assault on the wealthy with dramatic changes to how wealth is taxed along with huge income tax increases in capital gains, dividends and business income.
At this point, don’t lose any sleep. These provisions are so different that it may take a long time to gather the votes to pass something. I also believe they also understand that, with proposed start dates for any new legislation being 2023. If we have advance notice of any changes, there will be planning opportunities both before and after enactment. And that’s where we come in… we will be on top of it, and just like last year, be ready to help you architect the right tax planning moves.
The opinions voiced in this material are for general information only and are not intended to provide specific advice for any individual.