Hi there,

Welcome back to The Profit Pilot, where we provide you with insights to grow and keep your profit. Here’s your top 3 breakdown on Trump’s new tax proposals and their impact on small businesses.

Lower Corporate Tax Rates: A Win for Manufacturers? 

Trump plans to cut the corporate tax rate from 21% to 15%, potentially boosting cash flow for domestic manufacturers. This could free up cash for manufacturers to reinvest in growth or new hires. Keep an eye on Congress’s response and think ahead about how to use potential savings. Find out more on this topic below.

Higher Tariffs on Imports

Tariffs could go up to 20% on most goods and 60% on imported goods. If your business relies on imports, review your supply chain and consider alternative sources to manage costs.

Bye-Bye Green Credits? 

The plan also aims to eliminate tax credits for green energy from the Inflation Reduction Act. If you’re involved in renewable projects, this could impact your financial planning.

My Thoughts: I hope one of Trump’s first actions will be to end the BOI reporting requirements, which would help bring more clarity for businesses.

Something to Consider: Will the lower tax rate apply to services as well as goods? This could be important for service-based businesses that rely on imports.

Why This Matters: These changes aim to boost the economy but could come with some downsides, like higher national debt and inflation. It’s important to stay aware and adjust your business plans as needed.

Have Questions? We’re here to help you figure out how these changes might affect your business.

Your Partners in Financial Growth,
The ASO Financial Team
Brought to you by The Profit Pilot Newsletter