The transition between US presidents is often a trade-off. While some advantages come from the change in leaders, there are also setbacks. While president-elect Joe Biden has announced a more-extensive plan for containing the COVID-19 pandemic as well as plans for minorities in the country, Biden also has expressed the intent to raise capital gains and estate taxes as well as change how capital assets are taxed at the time of death.
As a result of this change in US politics, some individuals have begun to reconsider their estate planning strategy. In much the same way that no two estate plans are the same, the course of action you decide to utilize in response will also be unique and depends on various factors including your income, what you need to live on, and your gifting objectives. This article briefly discusses the potential impact that Biden’s presidency will have on your estate plan.
# 1 – Estate and Gift Taxes