Part II: Biden Proposal Changes the Taxation Game for Gifts and Inheritances – Americans Abroad Hit Hard

Today's post, Part II, was written with my colleague John Richardson, J.D. Part I of this blog post discussed President Biden's Green Book proposal that would change the tax rules for unrealized capital gains when assets are gifted or passed at death. To recap, the major thrust of the Green Book proposal is to treat gifts … Continue reading Part II: Biden Proposal Changes the Taxation Game for Gifts and Inheritances – Americans Abroad Hit Hard →

“With Liberty and Justice (and Death Taxes) for All” …. Biden Proposal Changes the Taxation Game for Gifts and Inheritances (Part I)

Today's post is in two parts and was written with my colleague John Richardson, J.D. On March 28, President Joe Biden released the FY2023 Budget, also known as the Green Book, available here. The Green Book is not proposed legislation, but it might be viewed as a kind of reading of the tea leaves showing … Continue reading “With Liberty and Justice (and Death Taxes) for All” …. Biden Proposal Changes the Taxation Game for Gifts and Inheritances (Part I) →

All You Need to Know about the 3.8% Medicare / Net Investment Income Tax & how Pres. Biden Will Expand Who Pays It

Under current law, limited partners who materially participate in a partnership's business are not subject to self-employment tax. Members of an S corporation who materially participate in the S corporation's business are subject to self-employment tax only on "reasonable compensation" received in their capacity as an “employee”. These individuals are also exempt from the 3.8% … Continue reading All You Need to Know about the 3.8% Medicare / Net Investment Income Tax & how Pres. Biden Will Expand Who Pays It →

Pres. Biden’s Tax Plan: Capital Gains Rate Increase Will be Retroactive & “Forced” Transfers at Gifting or Death Will be Taxed

My earlier blog post addressed the issue whether retroactive tax legislation can constitutionally be enacted, in effect “setting back the clock” and making a law effective as if it had been enacted at an earlier point in time. In that post, I explained that the topic held special importance since it is no secret that the … Continue reading Pres. Biden’s Tax Plan: Capital Gains Rate Increase Will be Retroactive & “Forced” Transfers at Gifting or Death Will be Taxed →

New Tax Laws on the Way…. Can They be Retroactive?

The question has often been asked whether Congress can enact retroactive tax legislation, in effect “setting back the clock” and making a law effective as if it had been enacted at an earlier point in time. The topic takes on special importance today as the Biden Administration is considering a vast magnitude of tax increases. Taxpayers … Continue reading New Tax Laws on the Way…. Can They be Retroactive? →