Presidential Candidates' Tax Proposals and Potential Impacts on Business Owners

As the 2024 presidential election approaches, tax proposals from leading candidates are becoming increasingly relevant for business owners, especially those preparing for transitions or exits. Each contender has signaled priorities that could reshape planning strategies in the coming years. Here is how their positions may influence taxation, deal timing, and long-term financial decisions.

Joe Biden
President Biden’s proposals lean toward modest, incremental tax changes. His administration has indicated an interest in raising the corporate income tax rate to 28 percent and increasing taxes on sectors such as fossil fuels. Owners may see slight increases in income taxes and targeted adjustments — including potential expansion of childcare credits — while dramatic estate tax exemptions appear unlikely under a second term.

Donald Trump
Former President Trump aims to extend or reinstate his first-term tax cuts. He intends to preserve the 21 percent corporate tax rate and restore expiring provisions from the 2017 Tax Cuts and Jobs Act, including maintaining elevated estate tax exemption levels. Recent bipartisan House activity to restore certain business tax benefits could also shape the environment if enacted.

Robert F. Kennedy Jr.
Kennedy’s tax policy platform is less defined. While he has stated that corporations should “pay their share,” he has also proposed exempting Bitcoin from capital gains tax. His broader policy direction may prioritize environmental efforts and regulatory oversight, though specifics remain scarce.

Nikki Haley
Haley has advocated for reduced taxes for small businesses and individuals, aligning with traditional conservative policy. She supports extending small-business tax cuts from the 2017 bill, eliminating the federal gas tax, and adjusting child tax credits. Her focus on limiting “corporate welfare” could shape how incentives are structured.

Key Takeaways
Business owners should prepare for potential shifts in estate tax rules, corporate tax rates, and qualified business incentives. The contrast between candidates underscores the importance of flexible planning that can adapt to post-election policy outcomes. Owners concerned about long-term tax exposure may benefit from tools such as philanthropic structures or strategic reallocations that remain advantageous regardless of political direction.

It's also essential to consider sustainability. While some administrations may offer short-term tax relief, long-term fiscal cycles tend to rebalance. A forward-looking strategy helps business owners remain resilient across political environments.

As the campaign evolves and more detailed proposals emerge, staying informed and proactively reviewing tax and exit strategies with advisors will help ensure business owners are positioned to navigate the shifting landscape with clarity and confidence.