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The House Budget Committee released a third version of H.R. 5376 (the Build Back Better Act) on November 3, 2021. This draft increases the state and local tax deduction, brings back many of the retirement proposals from the original September 13 draft of the Bild Back Better Act, and retains the surcharge on high-income individuals, estates, and trusts from the October 28 version. A summary of the tax updates is provided to show where things stand today.

With possible tax law changes on the horizon, it can feel daunting to make any moves before knowing the outcome. But year-end is still a good time to get your financial house in order and fine-tune your long-term strategy to take advantage of tax savings opportunities.

The U.S. House of Representative passed the Build Back Better Act, the second component of the White House’s ambitious spending plan, on November 19, 2021. Among the most significant provisions in the Act is a new broad-based surcharge of up to 8% on high-income individuals, trusts, and estates. An analysis on the surcharge impact and other key provisions in the Act are provided, including the corresponding wealth and tax planning strategies.

For married couples looking to use their lifetime gift exemptions and protect their assets, spousal lifetime access trusts (SLATs) are an attractive option. Planning to use the increased exemption now instead of waiting until it expires in 2025 and reverts to the 2011 level of $5 million will also allow for more thoughtful preparation, and a properly executed estate plan means less likelihood of IRS scrutiny.

In this outlook of forward-looking perspectives, experts provide specific, timely advice on how to articulate your unique vision for your wealth across key societal and financial themes for 2022 and beyond.

If you own a closely held business, choosing how and when to exit your business is a critical part of the planning. If one of your goals involves benefiting charity, you might consider the use of a charitable remainder trust (CRT). It’s also an option that can help achieve other business exit goals and reduce your overall tax payment.

Under Section 663(b) of the Internal Revenue Code, any distribution by an estate or trust within the first 65 days of the tax year can be treated as having been made on the last day of the preceding tax year. Using this rule to treat any distribution by an estate or trust can provide a possible opportunity for tax savings.

As family offices consider their tax planning strategy, it is important for their tax attorneys, financial executives, and legal team to conduct an analysis of the Biden Administration’s Tax Proposal. This guide and in-depth review, which includes an overview of the proposals impacting high-income taxpayers, will help you prepare for the changes.

If you’ve decided to purchase a home, whether you are a first-time homebuyer or you’ve purchased before, you need to familiarize yourself with the homebuying process. Once you understand the steps and know what to ask, buying a home can be a seamless and rewarding experience.

In May 2021, the Treasury Department released its General Explanations of the Biden administration’s fiscal year 2022 revenue proposals, commonly referred to as the “Green Book.” They seek a dramatic increase in revenue through an increase in corporate and individual income tax rates and other revisions to the Internal Revenue Code. This article describes some of the more salient provisions relevant to raising income tax rates and closing loopholes.