Although there will not be a tax increase for individuals in 2021, there are
tax increases scheduled over the next six years. The TCJA’s individual income tax provisions are scheduled to expire at the end of 2025, along with the phaseout of several business tax provisions between 2021 and 2026. The individual provisions set to expire include lower individual income tax rates, the more generous
Child Tax Credit (CTC), and the eliminated personal exemption. Businesses will face separate tax increases as
R&D expenses must be amortized over five years beginning in 2022, while the TCJA’s
full expensing provisions start phasing out at 20 percent per year beginning in 2023.