What Kamala Harris’s $5 Trillion Tax Plan Means for You

Kamala Harris just backed a $5 trillion tax plan targeting corporations and the ultra-wealthy. Find out how it could impact you. [image](=) Hi {NAME}, Let’s talk taxes. Kamala Harris just came out in support of a $5 trillion tax plan. It's part of the Biden administration’s proposal, and could bring significant changes to how the wealthy and corporations are taxed. If you’re making under $400,000 a year, this plan won’t touch you. The focus? The wealthiest Americans and corporations. The plan raises the corporate tax rate to 28% from the current 21%, a significant bump that could bring in $1.3 trillion over the next decade. On top of that, stock buybacks—a common move among big corporations—will now face a 4% tax, up from 1%. This is designed to curb companies from buying back their own stock and pushing up share prices while avoiding taxes. There’s also a billionaire's minimum tax. This means the wealthiest Americans, those with over $100 million in assets, will have to pay at least 25% on their income and their unrealized gains—essentially taxing investments like stocks and bonds before they’re sold. Even Elon Musk and Jeff Bezos will feel this one. What about individuals? Those making over $1 million will face higher taxes on their investments and income. No more capital gains loopholes—their investment gains will be taxed just like regular income. The top marginal income tax rate will rise to 39.6%, and Medicare taxes for high earners will also increase to 5%, pushing the combined top marginal rate to 44.6%. There’s also a change in the step-up in basis. Currently, if someone inherits assets, they don’t pay taxes on the appreciation that occurred while the original owner held the asset. Under this plan, capital gains would be taxed when assets are passed on at death, meaning heirs could face a significant tax bill. Congress will need to debate and finalize these changes, but one thing is clear: this tax plan is aiming to reshape how the wealthiest Americans and large corporations are taxed. We’ll be watching this one closely. But if you’re wondering how this could affect you or your business, and want to find a solution before this comes into effect, get in touch with us. This is a tax plan you won’t want to ignore. [LET'S TALK](=) In Freedom and Prosperity, The Nomad Capitalist Team = = [Update Email Preferences]( | [Unsubscribe]( Nomad Capitalist Limited 2301, 23F Bayfield Building 99 Hennessy Road Wanchai Hong Kong +1 (979) 966-6623