Maximizing the Gains: How to Benefit from Trump’s Tax Cuts, Tariffs, and Trade Treaties in 2024
The economic policies from the Trump administration, notably the Tax Cuts and Jobs Act (TCJA) of 2017, reshaped tax, trade, and tariff structures across the U.S. With individual and corporate tax reductions, strategic tariffs, and renegotiated trade treaties, these policies continue to impact the economy. Although parts of these policies are set to sunset by 2025, there are still significant ways for individuals and businesses to benefit. This article provides a comprehensive look at how to maximize tax savings, navigate tariffs, and leverage trade agreements to enhance financial outcomes.
- Understanding the Basics of the Tax Cuts
The TCJA introduced several significant changes:
• Lowered Corporate and Individual Tax Rates: The corporate tax rate was lowered to a flat 21%, and individual income tax brackets were adjusted to reduce rates.
• Increased Standard Deduction: The standard deduction almost doubled, leading to a shift away from itemizing for many taxpayers.
• Modified Itemized Deductions: The cap on state and local tax (SALT) deductions at $10,000 and limits on mortgage interest deductions affected certain high-tax states disproportionately.
• Estate Tax Exemption: The estate tax exemption increased significantly, allowing for larger, tax-free wealth transfers.
