The chances of the changing of the guard in the White House are felt and entrepreneurs begin to take the first, necessary, countermeasures. Joe Biden foresees a tax reform that would increase the maximum rate for the taxation of capital gains, bringing it from the current 20% (23.8% when taking into account the additional ACA tax of 3.8%, wanted to cover Obamacare) up to 39.6%, for those earning over $ 1 million or for proceeds from a business sale of over $ 1 million. A 60% increase in the rate, or 19.6% from the tax base, which changed the attitude and decisions of corporate CEOs and CFOs.
The result is simple: investment banks and consultants are informing, and adequately frightening their customers who have invested in start-ups or financial initiatives that are not, for them, "Typical of a company", to ensure that they hurry up. to sell their company shares now, in 2020, before the new president eventually takes over. This strategy appears to be taking effect: According to Dealogic, U.S. private company share sales totaled a record $ 253 billion in Q3 2020, five times more than Q2 and a 51% increase from Q3 2019. Nonetheless, the COVID-19 pandemic has suppressed the ability to make correct company assessments for some sectors, such as, for example, the restaurant business.
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/terrore-di-biden-nel-terzo-trimestre-esplosione-delle-cessioni-aziendali-per-evitare-le-tasse-del-candato-democratico/ on Thu, 22 Oct 2020 17:15:43 +0000.