2024 U.S. Elections: Tax Update

The upcoming elections in the United States have significant implications for a wide range of tax policies. Among other policy distinctions, Democrats and Republicans differ on how to handle expiring provisions under the 2017 Tax Cuts and Jobs Act (the TCJA), tax reform going forward, and global tax coordination efforts under the Pillar Two initiative led by the Organization for Economic Cooperation and Development (the OECD). Whether and how each of these issues is addressed will depend on who wins the presidential election, which political party wins control of each chamber of Congress, and the dynamic between the executive and legislative branches.

Expiring TCJA provisions

Expiring provisions under the TCJA are likely the biggest tax policy issue that will be affected by the upcoming elections. Enacted in 2017 under the Trump administration, the TCJA introduced wide-ranging changes across the U.S. Tax Code, such as reducing the federal corporate income tax