Biden's 2025 budget calls for a 44.6% federal capital gains tax rate and the repeal of the step-up basis at death

[Anonymous]

Has anybody seen this?
What are the chances of it being passed?

Death would then be considered a forced realization event, with capital gains taxes due.

This would change completely how people save and invest. It would be a huge blow.

[Anonymous]

Anonymous wrote:Has anybody seen this?
What are the chances of it being passed?

Death would then be considered a forced realization event, with capital gains taxes due.

This would change completely how people save and invest. It would be a huge blow.

i think it's dumb but the cap gain side of things won't impact 99% of people. I have a large liquidity event in 3 yrs that is taxed at Cap gains. I am vehemently opposed to this as it would cost me about $1.5M or more.

Parent's will start gifting assets prior to death to avoid the step up.

Sadly, we need some more balance in congress to nix this. Go Hogan!?

[Anonymous]

Haven't seen the article but I bet the step up basis elimination has a floor (say at least $2 million) sheerly for the sake of simplicity so it probably won't affect many people. There's just no way they would propose having regular people scraping around trying find the basis of an ordinary level of assets.

[Anonymous]

Link to source?

[Anonymous]

Wasn't there a thread like this last night with different comments? Why was it deleted?

[Anonymous]

Only affect people with more than $11.7M.

Will also not affect the 1st $11.7M.

I picked the 1st google result if you want a better one provide it.

https://www.pgpf.org/blog/2021/06/what-is-the-stepped-up-basis-and-why-does-the-biden-administration-want-to-eliminate-it#:~:text=To%20help%20fund%20its%20American,of%20capital%20gains%20at%20death.

[Anonymous]

Anonymous wrote:Has anybody seen this?
What are the chances of it being passed?

Death would then be considered a forced realization event, with capital gains taxes due.

This would change completely how people save and invest. It would be a huge blow.

How about you link to the budget details where you see this rather than making all sorts of wild assertions like "completely change" and "huge blow"--these are

https://itep.org/revenue-raising-proposals-biden-fiscal-year-2025-budget/

From what I can read the Capital gains tax increase is taxing income of over 1m per year at the personal income tax rate. So, yes, it's a huge blow for all of us with significant income over 1m per year. Tragic!

The stepped-up basis at death excludes 5m of unrealized gains per person and 10 million per couple and the tax starts after that amount.

[Anonymous]

Anonymous wrote:Only affect people with more than $11.7M.

Will also not affect the 1st $11.7M.

I picked the 1st google result if you want a better one provide it.

https://www.pgpf.org/blog/2021/06/what-is-the-stepped-up-basis-and-why-does-the-biden-administration-want-to-eliminate-it#:~:text=To%20help%20fund%20its%20American,of%20capital%20gains%20at%20death.

This is a very very small number of people.

[Anonymous]

The government is running out of money and rather than deal with it--stop foreign wars and reign in entitlements--they will raise taxes and kill productivity and innovation, which is the only way out of this mess over the long run. Biden is trying this because the "Republican" candidate is a buffoon. This is a side effect of our totally broken partisan primary nomination system. Politics is totally broken.

[Anonymous]

Multi-millionaires problem. Next.

[jsteele]

https://www.dcurbanmom.com/jforum/posts/list/1201121.page