[mountn man]

Americans will hand down to spouses or kids - their IRAs. Instead it is taxed as full earned income.

That's because IRA's are tax deferred.

When the income comes in, the income tax, that would have been paid, is deferred until the money is withdrawn. At which time the money is taxed.

So, upon death, the money is withdrawn and deferred taxes are now due.

[apoliticalone]

Thanks, and I understand that IRAs, etc are tax deferred and that is why those in Congress don’t worry about the “death tax” on average Americans. It is because they forget in their quest to appease a select few that many of those with the most wealth got rich only because taxpayers subsidized their wealth. It is called crony capitalism and it has infected our economic culture.

Goldman and JP Morgan would be bankrupt if not for taxpayer bailouts. Farmers have for years been handed taxpayer money. The owners of most of the professional sports teams would have much less of an estate had not taxpayers been assessed to build their stadiums. Wal-Mart gets special taxpayer handouts to build warehouses for Chinese stuff.

If there should be no death tax for a few, then there should be none for the many that were forced to subsidize those few.

The day when many of the richest in America got rich on their own without major help from taxpayers was over some time ago.