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In light of GA's election results, and what's likely a flipping of the Senate, a quick thread recapping some key provisions of the Biden Tax Plan...

(No GIFs. Proposals don't get those)

On the income tax side, the Biden tax plan sets a clear, bright-line mark at $400k...

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If you're below that, you'd be pretty 'safe' from seeing your tax rate(s) increase under his plan.

For those w/ income of $400k or more, he proposed returning the top rate to 39.6% (though whether this is for single filers, joint filers, or both, was never made clear)...

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Biden also proposes eliminating the QBI deduction for anyone with income more than $400k (today, non-specified service biz owners may be able to continue to benefit from the deduction if they have sufficient wages or property).

The $400k mark is also the proposed cut off...

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for taxpayers who want to do a 1031 exchange. Income higher than that? You wouldn't be able to do one under the plan.

Deductions for high earners would also take a hit under Biden tax plan, as the max benefit would be capped at 28% instead of at the taxpayer's actual rate...

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Biden also proposes replaced IRA and 401(k) deductions w/ a flat credit. Would be a big benefit for those w/ more modest incomes, while hurting those with higher incomes.

Would also flip SOP for high earners, making Roth accounts FAR more likely to be the better option...

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OK we have text of the new Stimulus bill... combined w/ a WHOLE lot of other legislation.

In all the PDF version of the full bill clocks in at 5593 pages. Can be found: https://t.co/RwPOMZ5b7d

Buckle up. This is gonna be a LONG ride!

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But before we dive into the bill, a quick note from my soap box… This whole process is absurd. They JUST released a 5k+ page bill, and they are going to vote on it TODAY.

They aren't even pretending to have time to read what they're voting on anymore.

*Steps off soap box*

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Ok... on to the meat. Let's start by answering the question that so many are already asking... “Will I be getting another #stimulus check?”

The answer, like last time, is “Maybe.”

Notably, the maximum stimulus amount per person this time around is $600.

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Under the CARES Act, adults got $1,200 for themselves, and $500 for children as a ‘base amount.’ This time, it’s $600 for each person.

So, for instance, a single filer w/ no kids starts w/ base of $600. Family of five, like this👇starts w/ a base amount of $600 x 5 = $3k

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But those amounts" will be reduced once income exceeds the following thresholds:

Single: $75,000
Joint: $150,000
HOH: $112,500

As was the case under the CARES Act, the ‘base’ stimulus check will phase out by $5 for every $100 a taxpayer is over their applicable threshold.