Tax Proposals in the President’s Budget

By Heather Findon, CPA |

President Biden’s administration recently unveiled its proposed budget for fiscal year 2022 that include an abundance of proposed tax changes affecting individuals and corporations.  Some of the highlights are as follows:

  • Increasing the top marginal income tax rate from the current 37% to 39.6% for taxpayers with taxable income over $509,300 (married) and $452,700 (single)
  • Increasing the capital gains tax from 20% to 37% for taxpayers that have adjusted gross income over $1 million
  • Imposing capital gains tax on gifted property
  • Imposing capital gains tax on property owned at death
  • Increasing the child tax credit from $2,000 to $3,600 for each child younger than six and $3,000 for other qualifying children for single parents earning less than $75,000 and married parents making less than $150,000 through 2025
  • Provide premium assistance tax credits for certain health insurance coverage

If you would like more information regarding the proposed changes, please reach out to your trusted professional at Findon & Associates. To learn more about our services, please visit our website at www.brucehallcpa.com or follow us on Facebook, Twitter, or LinkedIn.  

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