President Trump proposed eliminating income taxes, impacting investments with potential for higher returns; negative.

From Yahoo Finance: 2025-04-21 08:00:00

In fiscal year 2024, individual income taxes made up 49.3% of total government revenue, with corporate income taxes accounting for 7.6%. President Trump proposed eliminating income taxes, which could have significant impacts on investments and personal finances. The taxability of investment income varies by account type, and eliminating income taxes could lead to higher after-tax returns. Trump’s plan to replace income taxes with tariffs has already caused stock market volatility, making investors uneasy. With income taxes removed, individuals could have more money to contribute to investment accounts, potentially stimulating market growth.



Read more at Yahoo Finance: 5 Ways This Could Impact Your Investments