Taxpayers are breathing a sigh of relief as the proposed 2021 tax changes appear to be less onerous than once feared. Provisions that were causing panic in the streets last summer have been either eliminated or trimmed back substantially.
There has been panic in the streets over the proposed Biden tax increases, specifically the steep jump in the capital gains rate. Before jumping to any conclusions, we thought it would be helpful to review what we know and what we don’t know about these proposed tax increases.
The American Rescue Plan Act of 2021 (ARP), was signed into law, the IRS moved the tax deadline for individuals, and there have been more developments with the Paycheck Protection Program (PPP).