Credit for employers who provide up to 12 weeks of paid family and medical leave per employee expires.

• Expand child tax credit to $3,600 from $2,000 per dependent and provide $6,000 credit for newborns
• Expand Earned Income Tax Credit for workers without children
• Extend enhanced premium tax credits under the Affordable Care Act
• Exempt tip wages from federal income taxes; payroll taxes for Social Security and Medicare would remain

• Make expiring individual income tax cuts from the Republicans’ 2017 tax overhaul permanent
• Eliminate taxes on tip wages and Social Security payments
• VP nominee JD Vance floated expanding child tax credit to $5,000
• Advisers have pushed to keep the cap on SALT deductions

Effective rate of GILTI tax – the US minimum tax on foreign income tied to intangible assets, such as patents – will increase to 13.125% in 2026, from the current 10.5%.

The BEAT tax – intended to deter large US multinational corporations from shifting profits to low-tax countries – will increase to 12.5%, from 10%.

Deduction rate on excess foreign intangible income will decrease to 21.875% from 37.5% in 2026, increasing the effective tax rate on such income.

Recent Biden administration budgets proposed a repeal of FDII deduction.

Biden administration proposed modifying GILTI and replacing BEAT with an undertaxed profits rule to align with Pillar 2 minimum income tax structure under the OECD global tax deal.

Pillar 1, which would change where large companies pay taxes, effectively requires US adoption to take effect. International negotiations on the terms of the Pillar 1 structure continue.