It is not yet certain which of his tax proposals President-Elect Donald Trump will seek to make law. However, many of them would make it easier for wealthy people to keep money in their families and discourage charitable giving.
While campaigning for the Presidency, Donald Trump made many different proposals to change the tax code. Although he has not yet indicated which of those proposals he will ask Congress to pass after he is inaugurated, reporters have begun looking at his proposals in more detail and tried to ascertain what they might mean if implemented.
Recently, The New York Times looked at how they might help keep dynastic wealth in "Trump's Changes to the Tax Codes May Encourage Dynastic Wealth."
The biggest change Trump has proposed is to eliminate the estate tax, which would obviously make it easier to keep money in the family. He has also proposed changes to how inherited capital gains would be taxed. It appears that no capital gains would ever be taxed as part of the estate until the asset was sold.
This includes interests in family businesses. That would also make it easier to keep inherited wealth in the family. Trump has also indicated that he would limit charitable deductions, which has some worried that less money will go to charity. Taxes such as the gift tax and the generation-skipping tax could also be repealed.
Of course, until Trump proposes legislative action we cannot be certain what he will do and whether it is likely Congress will agree with the plans.
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Reference: New York Times (Nov. 11, 2016) "Trump's Changes to the Tax Codes May Encourage Dynastic Wealth."