Trump's Business Tax Reform Plans -
- Cuts the corporate income tax rate from the current top rate of 35% to a top rate of 15%
- Enact a one-time deemed repatriation tax of 10% on all foreign corporate profits currently deferred
- Taxes pass-through business entities (S Corps and LLCs) at a maximum personal rate of 15% on K-1 profit which is commensurate with the proposed top rate for regular C Corps
Hilary's Business Tax Reform Plans -
- Makes no substantial changes to current business tax rates. Keeps the top corporate income tax rate at 35% for C Corps.
- Keeps taxes on K-1 profit for pass-through entities (S Corps and LLCs) at personal income tax bracket as high as 39.6%
In our next blog post, we will compare the two candidates' estate tax plans.