TCJA and the 2024 Presidential Election

Planning for Tax Reform: What’s Next?

When the Tax Cuts and Jobs Act (TCJA) was passed, it reshaped the tax landscape… temporarily. Most provisions in the TCJA are set to expire at the end of next year, meaning unless new legislation is passed, a $4 trillion tax increase could hit in 2026.

What does this mean for you? One thing is certain: major tax changes are in our future. The changes we can expect will depend largely on the outcome of next month’s presidential election.

What should you do about it? To help you prepare, here’s a breakdown of what you can do now, next, and later:

• Now: Get familiar with each candidate’s tax position to understand how their policies could impact your finances. While proposals don’t always become law, they offer valuable insights into what may lie ahead.
• Next: After the election, we’ll have a clearer picture of upcoming changes. Next month we’ll focus on maximizing tax opportunities under current laws and prepare for potential changes.
• Later: Once new legislation is in place, we’ll provide guidance to our customers on how to optimize their strategy to capitalize on opportunities or mitigate risks.

So, for now…

With the election just around the corner, the tax proposals from our presidential candidates show two very different visions for the future of U.S. taxes. We’ve scoured the plans of each candidate to highlight the key positions shared to date.

What Does it Mean For You?

Based on a combination of your expected earning potential in the upcoming years, here are some outcomes you might expect under each plan.

The Bottom Line

Trump’s Plan: Focuses on extending the Tax Cuts and Jobs Act (TCJA) and keeping taxes low on income, capital gains, and businesses. His plan emphasizes support for U.S. manufacturing and includes tariffs on imports to protect domestic industries, which may lead to higher costs for some businesses.

Harris’s Plan: Proposes raising taxes on wealthy individuals and large corporations to fund social programs. Her plan also aims to provide tax relief for middle- and low-income families through expanded deductions and credits.

?? Want to Dive Deeper? For the full guide and a closer look at how these tax plans might impact your finances, send us a direct message.