- September 30, 2021
- Posted by: Stratford Team
- Category: Business
Thousands of U.S. businesses are sold every year. But with a large increase looming in the U.S. capital gains tax, more owners who will earn more than $1 million this year – including any proceeds from a sale – are strongly considering a sale of their business before year’s end.
For many business owners, 2021 is the perfect storm. The stock market’s seemingly endless rise has helped many to double their net worth within recent years. At the same time, the impact of COVID-19 has made daily operations a never-ending grind. Finally, many are getting offers they can’t refuse. For example, I work with many doctors who receive regular inquiries to sell; one who has experienced all the items I mentioned has just decided to take an offer valued at several million dollars.
Democrats in the U.S. House of Representatives have proposed a top federal rate of 25% on long-term capital gains, up from the current top rate of 20%. But the Biden administration…