1. Proposal: Higher Tax Rates for the Wealthiest Americans
The wealthiest Americans probably saw this coming from a mile away. Biden promises to roll back to the pre-Trump era, meaning that tax rates would change for those earning $400,000 or more. Low and middle income earners won’t have to worry about these changes affecting them.
Here’s the thing, though. No matter who wins the race, changes will still be implemented one way or another in 2025 when the Tax Cuts and Jobs Act will “sunset”. That means that all tax brackets will go back to the higher tax rates automatically on the 1st of January 2026. Congress won’t even be needed to do anything!
So, regardless of who will be in office, even if no action will be taken, we should still expect changes in a few years’ time.
