On Monday, September 13, 2021, the House Ways & Means Committee released a draft tax plan which provides the clearest direction to date on how Democrats intend to use the estate and gift tax regimes to pay for part of the President’s agenda. It is important to note that these are only proposals and Congress is in the early stages of the legislative process. New details may emerge, and changes may be made over the coming weeks and months. We offer this summary merely to provide a window into the possible tax changes impacting estate planning.
There are three dates to keep in mind: (i) changes effective as of September 13, 2021, (ii) changes effective as of the date of the enactment of the act, which could be within a few weeks, and (iii) changes effective as of January 1, 2022.
Posted by Anthony Tran, Associate Editor, Wealth Strategies Journal