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03 October 2024

2024 elections and TCJA tax cliff: Analyzing 3 major scenarios

The outcome of the 2024 elections will have major implications for the end-of-2025 tax cliff, when individual and pass-through provisions of the 2017 Tax Cuts & Jobs Act (TCJA) expire. If either party sweeps in the elections, they would be expected to pursue a budget reconciliation bill focused on extending the expiring TCJA provisions as they see fit — the specific items that are extended, the degree to which the cost is offset, and how — along with other priority issues. Tax increases are possible under any of three potential scenarios: (1) a Republican sweep; (2) a Democratic sweep; and (3) divided government, with parties splitting control of the House, Senate and White House. Learn more in this EY article, "2024 elections and TCJA tax cliff: Analyzing 3 major scenarios."

Document ID: 2024-1813

 

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