As a six-year-old, I crawled through a corral fence to admire a horse, thrilled yet terrified when it noticed me. Unsure whether to run or stand, I froze as it stepped on my foot, bit my shoulder, and knocked me down. My father, witnessing this, brushed me off, assured me the horse was curious, and taught me to ride despite my fears. The tax code, like that horse, is beautiful but dangerous, especially in turbulent times.
Tax Rodeo
Uncertainty hampers legal planning, particularly when tax laws are volatile or weaponized. Election years, like my first horse encounter, bring unpredictable change, making it hard to decide whether to act or wait. Tax laws, shaped by shifting political hands, can be daunting. Post-election, clarity may emerge, but the question remains: what now?
Don’t Cry
While some lament election outcomes, others face real burdens from inflation, crime, divisive policies, and job-killing regulations. The convoluted tax code has stung before and can again. Yet, amidst the danger lies opportunity in pending tax reforms, if we learn to navigate the system.
Get On
My father taught me to ride by guiding the horse, then handing me the reins. I learned to direct it despite its power. Similarly, tax laws follow rules. Ignorance leads to harm; knowledge, with expert guidance, makes them manageable. A CPA and financial advisor alone aren’t enough—add a tax attorney to save more than their fees. An integrated advisory team keeps you informed and prepared.
Changing Rules
Tax changes are underway, election or not. The IRS has announced shifts in rates, retirement contributions, and capital gains. Social Security benefits face adjustments. Post-election, the TCJA tax cuts are likely to extend beyond 2025, with proposals like:
- “Reduced tax rates for the middle class (whatever that means)”
- “Reduced or eliminated taxes on social security benefits”
- “Reduced or eliminated taxes on tips (can I charge less and take tips instead?)”
- “Tax breaks for first responders, and”
- “Making interest on loans to purchase US made cars deductible.”
Who Will Pay More
Proposed tax reductions may be offset by tariffs—taxes on foreign goods. Economists debate tariffs’ impacts, but agree lower income taxes boost economic activity, increasing federal revenue. Mexico’s response to potential tariffs, curbing migrant caravans, shows tax policy’s broader effects. Advisors can decode political shifts and craft advantageous plans.
The Tax Game
Taxes are an infinite game, not a finite one with fixed rules and endpoints. Players and rules evolve; the goal is to stay ahead. Eliminating income tax shifts the tax type, not the game. Death, another infinite game, underscores the need for multi-generational planning. Effective strategies embrace this reality.
Acknowledge and Plan for the Inevitable
Death and aging are certainties. Much of estate planning addresses life—incapacity, long-term care—sweetening existence when done right. Top advisors guide not just to your goals but to their consequences, ensuring alignment with what matters most.
Take Inventory
Act now. If you lack a tax and legal plan, create one. If you have one, review it. Have your wishes, family, finances, or health changed? Businesses inventory regularly; successful wealth creators review estate, business, and tax plans annually, with professional updates every five years. Do it before year-end.
Stay on the Horse
Post-election change continues. Volatility brings risk and opportunity. Even skilled riders fall; audits can strike despite compliance. Don’t fear the tax code—learn to ride it with expert help and keep moving forward.
Why It Matters
When common sense drives policy, opportunity grows, lifting all through wealth creation, not redistribution. Tax laws increasingly favor creators. With a robust plan, you and your family thrive, contributing to a prosperous society.
The Tax Horse © 2025 by Rick Durfee is licensed under CC BY 4.0 
The Tax Horse