What does a Donald Trump presidency mean for Estate Planning?

What does a Donald Trump presidency mean for Estate Planning?

Following the election of Republican candidate Donald Trump as well as the GOP’s retainment of a Congressional majority, significant tax reform has a distinctly higher probability of occurring now than it had under previous administrations. This is largely due to Donald Trump’s tax plan being substantially in agreement with the Tax Reform Tax Force Blueprint proposed by Republicans; both intend to have the alternate minimum tax eliminated, repeal the current estate tax, reduce & simplify income tax brackets, and lower taxes on businesses. Alternatively, Republicans could propose a budget reconciliation bill as a more stable solution, but since it necessitates an approved budget that is unlikely due to its inefficiency. Trump’s administration is also anticipated to affect a small number of regulatory initiatives, the two most prominent being the regulations regarding consistent basis reporting and the proposed regulations under Section 2704 of the Internal Revenue Code. The first of these regulations was announced by the IRS on March 4, 2016; this regulation would be administered in order to guarantee “a recipient’s basis in certain property acquired from a decedent be consistent with the value of the property as finally determined for Federal estate tax purposes.” The second was published by the Treasury Department on August 4, 2016, which proposed intricate regulations on valuation discounts for family-owned businesses under 2704; these regulations were deemed by the vast majority to be beyond the Treasury’s authoritative reach, as well as potential threat to family-owned businesses. These proposed regulations are intertwined with the federal estate tax; in the event that the estate tax is repealed, these regulations will no longer be applicable. With...
Why you should have a small business succession plan

Why you should have a small business succession plan

Being a small business owner myself, I truly understand the ups and downs of owning your own business. There are tough questions that need to be answered every day.   Some of the big long-term questions are: Who will take over the business when I retire? Should I keep it in the family? Can I sell my business? What happens when I die and will my family get any value out of the business without me there to run it?   If you are a small business owner and have similar questions that you want help answering, let’s sit down together and figure out the answers to these tough questions. I have set up many small business succession plans and it is not something to take lightly or wait too long to do. If the proper paperwork is not completed, your family might lose out on the value of your business.   Contact me today to make sure your family benefits the most from your succession plan and the right person takes the reigns to lead your business into the...