THE BERNARDS-RIDGE CONNECTION PAGE 8 APRIL/MAY 2026 theconnectionsnj.com 80 years of professional service Fee-based Wealth Management Financial Planning Tax-efficient Investing Tailored Service, Disciplined Strategies, and Committed Guidance. Individual Tax Preparation Business Tax Preparation Accounting & Consulting Accounting Services are provided by Shapiro Certified Public Accountants and not a service provided by Raymond James. Shapiro CPA's and Shapiro Financial Group is not a registered broker/dealer and is independent of Raymond James Financial Services. Complimentary Initial Consultation 30 Technology Dr., Warren, NJ 908-222-3770 shapirogroup@raymondjames.com The key to your financial success shapirogrp.com Sophisticated expertise for today and future generations. Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC. Raymond James and its advisors do not offer tax or legal advice. You should discuss any tax or legal matters with the appropriate professional. Investment advisory services are offered through Raymond James Financial Services Advisors, Inc. Shapiro Financial Group is not a registered broker/dealer and is independent of Raymond James Financial Services. s the ’25 tax season is nearly complete, ‘26 is upon us. Current implementation and expansion of the One Big Beautiful Bill Act (OBBBA) and mid-term elections are front and center. I hope your tax season was stress-free, though of course some will require extensions. Individuals are enjoying the benefits of the OBBBA, including a more generous standard deduction, along with the supplemental senior standard deduction. This continues the trend of fewer taxpayers itemizing deductions and instead claiming the standard amount. This reduces the benefits of mortgage interest and other itemized elements. In turn, this diminishes the tax benefits of homeownership, adding to the affordability issue. Which is most acute for first-time buyers. Not surprisingly, many clients inquire how best to structure finances to help the next generation afford their first home. Perhaps the increased state tax itemized deductions will slow this trend, particularly in the tri-state area. A valuable deduction for businesses is the immediate expense provisions. This should serve to increase investment across the board. For successful pass-through business owners, the 20% Qualified Business Income deduction can result in significant savings, as the deduction is typically against the taxpayer’s marginal (top) tax rate. Business and individual taxpayers should focus on how the new positive tax provisions of the OBBBA will be implemented Whatever the administration or tax policy, we stand ready to help our clients plan and adapt to the best possible financial outcomes. and how best to leverage them in the future to achieve business and personal economic goals. Although the provisions of the OBBBA were made permanent, the reality, of course, is that no tax provision is truly permanent. Any current tax law change will require the support of President Trump and the Republicans who control the House and Senate. However, this is a slim balance of power. This majority will be tested in the upcoming midterm elections. Under House of Representatives (House) rules, a simple majority vote is required to pass legislation, and all seats are up for election every 2 years. One-third of Senate seats are up for election every 2 years. Republicans currently hold a 219 to 213 advantage in the House and a 53 to 47 advantage in the Senate. Using history as a guide, the upcoming midterm elections have not been kind to the incumbent president. According to The American Presidency Project, Univ CA, since 1982, the party that controlled the White House in the last eleven 4-year mid-term elections has lost a cumulative 233 House seats and 32 Senate seats. Since 1982, only 1 Republican and 1 Democratic president gained seats, respectively, the last was in 2002. Opinion, if prior history is to repeat itself, the party that controls the executive branch will have difficulty maintaining the majority in both arms of Congress. If bipartisan support is needed, passing significant tax legislation would be unlikely. I cannot recall many financial issues with the support of both Democrats and Republicans alike. Whatever the administration or tax policy, we stand ready to help our clients plan and adapt to the best possible financial outcomes. We have provided proactive individualized tax management along with timely and accurate preparation for over 75 years. Experienced and equipped to manage the complex needs of successful individuals and closely held businesses. I would welcome the opportunity to help your family and business grow and prosper. You should discuss any tax or legal matter with your tax or legal advisor. Shapiro CPAs does not provide legal services. This article is not to be construed as written advice under IRS Circular 230. FINANCIALFORUM Tax Season: The House, the Senate, and What’s Next By Robert Shapiro CPA ABV-Shapiro CPAs in both arms of Congress. If bi partisan support is needed, pass would be unlikely. I cannot re We have provided proactive in As the ’25 tax season is nearly com
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