Pennsylvania's Inheritance Tax ... it's illogical, unconstitutional and should be abolished

Pittsburgh Tribune Review ^ | March 24, 2002 | C.J. Durkin

[Dukie]

With the calendar page soon turning to April, we once more visit the days when we pause and reflect, mostly in head shaking disbelief, at the amount of our labor is which is appropriated by way of income taxes. While the sage once remarked on the certainty of death and taxes, he may not have appreciated the linkage of these phenomenon in the form of Pennsylvania

[smokeyb]

Good Morning Dukie !

... it's illogical, unconstitutional and should be abolished

That is why we still have it !

TJTT tonight !

[Abundy]

That legal scholar that makes much ado about the signature at the bottom of the tax return is ignoring the fact that the tax return is not filed voluntarily, but under threat of criminal penalties for non-compliance.

Convenient, huh?

[PA Engineer]

I wish Americans would include the term "Grave Robbers" with "Death Taxes". I see no difference culturally or morally.

[RayBob]

Good read. You did a nice job. The state's inheritance tax system is repugnant. There are many who will place a child's name or a close relative or friend's name on their bank account for convenience (so that they can handle bank transactions for them if they are incapacitated.) What they don't realize is if that person they put on their account dies, they will have to pay inheritance tax on one half the value of the bank account, even if they were the only one who put money in. You tell them this and they figure "How will the state ever know?" The state will know because the bank has an employee whos job it is to check the obits every day and plug the names into the computer to see if they have an account at the bank. The bank then tells the state. Same thing goes for safe deposit boxes. A box is sealed and can't be opened until a Dept of Revenue inspector is present at the opening so that they can inventory the box and get their "fair share" of the goodies inside. (Word of caution: don't put your assets in someone else's box- you'll regret it (there's a sexual inuendo in there somewhere) and don't put your kid's stuff in your safe deposit box. Its a mess and should be eliminated.

One other note. Until recently (1994, in fact) there was a 3% tax on assets that passed to a spouse! That included joint assets! The tax was phased out over three years to get down to 0% in 1996 or 97 (I can't remember.)

[Dukie]

You're correct Russ. Everytime we write or speak with politicians, candidates - and indeed even fellow citizen voters - we must focus attention on matters related to constitutional authority for proposed or existing laws. Only then can we expect these charters to be respected.

[Portnoy]

Oh I agree..!

I just thought people should know that, baring any overturning of the tax, they have a recourse.

I know many people do not understand their options.

[Abundy]

Forgot to mention - very well-written piece.

congrats.

[mountaineer]

Excellent analysis, sir.

[Dukie]

As evidenced by the continuing reduction in PA's congressional delegation it appears that is indeed happening.

[xsmommy]

great job!

[Dukie]

Thanks for your reply, my friend. The scholar referenced is a law school professor. So many of our legislators are steeped in that kind of thinking its no wonder that laws derelict of constitutional authority are proliferating.

[Dukie]

See you there, smokey !

Are you going to be there, Dales ?

[Dukie]

Good point. There seems to be no event in an individual's life which is not encumbered with some sort of tax liability.

[Still Thinking]

"You've Got a Friend in Pennsylvania"

See, not all of the slogan fit on the plates. The rest went: "so get him to another state, before we rob him blind!"

[Dukie]

Thank you forr your kind words. I really must check edits & spelling more thoroughly, as pointed out by Leni.

[Dukie]

Thank you forr your kind words. I really must check edits & spelling more thoroughly, as pointed out by Leni.

[Protagoras]

All taxes are a form of theft. The death tax is the "grave robber" form of that theft.

[xsmommy]

i am a former Pittsburgher and with the passing of my father in December, am personally confronting the PA inheritance tax situation, so i was particularly interested in your piece.

[goldstategop]

We abolished the "death tax" here in California in 1982.

[Dukie]

I believe Deukmejian (sp ? ) another pretty good governor helped get it abolished. Not since the days of Ben Franklin has Pennsylvania been associated with leadership in enlightened thinking.