“It’s not about how much you make. It’s about how much you get to keep.” – Anonymous

If you’re a business owner, high-income professional, or nearing retirement, you need to have 2026 circled in red on your financial calendar. Why? Because the tax landscape is about to change—dramatically.

Thanks to the 2017 Tax Cuts and Jobs Act (TCJA), Americans have been enjoying historically low income and estate tax rates. But these benefits are set to expire on December 31, 2025, unless Congress intervenes.

What’s Happening in 2026?

Without legislative action, many key provisions of the TCJA will sunset. That means:

• Income tax brackets will rise – The 12% bracket reverts to 15%, the 22% goes to 25%, and so on.
• Estate tax exemption will be cut in half – Currently at $13.61 million per person (2024), it may shrink to ~$7 million, subject to inflation.
• Business owners may lose key deductions – Like the 20% Qualified Business Income (QBI) deduction under Section 199A.

But Wait—Isn’t There a New Tax Bill on the Table?

Yes, there’s been talk of a new tax bill that may extend some TCJA provisions. But here’s what we know right now:

Why 2025 Is Your Golden Window

Most tax-saving strategies take time to execute properly. Waiting until 2026 is waiting too long. That’s why 2025 is your last full year to make strategic moves before the tax sunset takes effect.

Here are the four key strategies we’re guiding our clients through right now:

Strategy #1: Leverage Roth Conversions in 2025

Many clients hold large balances in pre-tax retirement accounts (e.g., traditional IRAs or 401(k)s). These haven’t been taxed yet—and higher rates in 2026 will hit those withdrawals harder.

Solution: Convert to a Roth IRA in 2025.

You’ll pay taxes now—at today’s lower rates—in exchange for decades of tax-free growth and withdrawals later.

Planning Tip: Work with a tax strategist to “fill up your tax bracket”—converting just enough to avoid jumping into a higher tax bracket or triggering Medicare surcharges.

Client Case: A physician in her 50s converted $100,000 over two years. She paid $18,000 in taxes—but saved over $70,000 in projected lifetime taxes.

Strategy #2: Reevaluate Your Business Entity

If you’re structured as an S-Corp, LLC, or partnership, you’re likely enjoying the 20% QBI deduction. But that could vanish post-2025.

2025 is the time to conduct a full Business Entity CheckUP

• Is my current structure still the most tax-efficient?
• Should I accelerate income or defer deductions before rates rise?
• Are there income-shifting opportunities within my family?

Pro Tip: Many CPAs focus on compliance. At Quraishi Law & Wealth, we take a strategy-first approach—merging tax, legal, and financial guidance under one roof.

Strategy #3: Use the Estate and Gift Tax Exemption Before It Shrinks

The estate tax exemption is at historic highs—but not for long. In 2024, you can gift up to $13.61 million per person tax-free. In 2026, this could drop by nearly half.

This matters even if you don’t consider yourself “ultra-wealthy.” Your estate includes:

• Life insurance proceeds
• Retirement accounts
• Business value
• Real estate holdings

What You Can Do Now:

• Make gifts to irrevocable trusts
• Explore Spousal Lifetime Access Trusts (SLATs) to keep some control
• Use valuation discounts for family business and real estate transfers

Client Story: A couple moved $9M in business assets into a trust for their children, saving $3.5M in projected estate taxes—while retaining strategic control through a trustee plan.

Strategy #4: Make Charitable Giving a Tax Strategy

If you’re charitably inclined, 2025 may be your most impactful giving year—from a tax perspective.

Donor-Advised Funds (DAFs) offer flexibility while maximizing deductions.

Benefits of DAFs:

• Front-load donations to maximize deductions at current low tax rates
• Avoid capital gains by donating appreciated assets
• Maintain control over charitable distributions over time

“No one has ever become poor by giving.” – Anne Frank
But you can become smarter by giving strategically.

The Clock Is Ticking

Here’s the bottom line:
2025 is your last full year to implement strategies that could preserve millions in long-term taxes.

Many of these actions—like entity restructuring, Roth conversions, and gifting—require careful planning and coordination.

Ready to Protect Your Wealth Before the Sunset?

At Quraishi Law & Wealth, we believe you deserve clarity, confidence, and control in your financial future.

We help business owners, professionals, and high-net-worth families develop custom strategies that align tax, legal, and wealth planning into one seamless system.

👉 Schedule your 2025 Tax Sunset Strategy Session today.
Let’s build your custom roadmap together—before the window closes.