UPDATED – Preparing for Potential Changes to Individual and Estate Taxes by Tony Gutierrez, CPA

Posted on April 30, 2021 by Anthony Gutierrez

As the government begins deliberating the Biden administration’s $2.3 trillion infrastructure bill and $1.8 trillion American Families Plan, one thing is for certain: individual and corporate taxes will be impacted. Now is a critical time for high-net-worth families and businesses to get ahead of proposed tax increases and meet with their CPAs and advisors to prepare their estates for maximum tax efficiency and wealth preservation under tax reform.


The president outlined his tax agenda as part of the American Families Plan with the intent to reform the tax code and “ensure that high-income Americans pay the tax they owe under the law.” To support this aim, the administration proposes to 1) increase the IRS’s 2022 audit and enforcement budget and 2) require financial institutions to report to the IRS information on clients’ account flows, including earnings from investments and business activity, in the same manner that employers report employee wages.  Here are some of the proposed provisions tax included in the president’s plan:

Planning Opportunities

Financial planning around tax reform is never a simple process. However, planning is required to avoid being blindsided by significant tax hikes that can ruin the most well-thought-out wealth accumulation and preservation strategies. The sooner you get started, the more prepared you will be for eventual change – whenever that may be.

Following are just four income and estate tax planning techniques to consider under the guidance of your professional advisors and CPAs. It is important to remember that what may be appropriate for one taxpayer may not apply to another.

With the prospect of tax change on the horizon, now is the time to meet with your trusted advisors to implement strategies that meet your unique need and goals while maintaining tax efficiency today and into the future.

About the Author: Tony Gutierrez, CPA, is a director in the International Tax Services practice of Berkowitz Pollack Brant Advisors + CPAs, where he focuses on tax and estate planning for high-net-worth individuals, family offices, and closely held businesses in the U.S. and abroad. He can be reached at the CPA firm’s Miami office at 305-379-7000 or