The fiscal cliff debate culminated in the passage of the American Taxpayer Relief Act of 2012. The Act extended certain tax provisions that expired at the end of 2012, including the tax rate for individuals, except for those with taxable income over $400,000 ($450,000 for a married couple on a joint tax return).
The increase in taxes for these high income filers has many small business owners scrambling for relief. And one increasingly popular solution is the cash balance pension plan.