What percentage of Freepers will ever be impacted by the estate tax?
I find this a fascinating hill for Republicans to fight over.
I agree...How many people really expect to inherit 5 million dollars. My understanding is though that it has the potential to hurt farming families given that their estate value tends to be more in land and equipment.
The Estate taxes are taxes already paid by the deceased. An estate of 11 million dollars currently would exempt the first 5 million roughly. The beneficiaries would pay taxes on the remaining 6 million. The tax is wrong, and children of large farms, successful businesses and the like are left to sell off the family holdings.
It’s another tax, that gives money to POS politicians to spend freely. The more taxes are reduced or repealed all together is fine by me.
Also, why should this be a fight? The tax is plain wrong.
Not for supporters with estates over about $12 million. It's a very big money saver.
The devil is in the details which the GOP seems to be short on. Like health care, they've only had 8 years to put their plans in place. But since you bring up the estate tax, it does not only effect the $11 million plus people, it effects everyone. For those of us with taxable estates under $11 million, we benefit from an estate/gift tax credit, so nothing is due. And we benefit from a step up in cost basis on our assets. Unless there's something that hasn't been disclosed, when the grandkids inherit Gramps $2 million farm estate tax free, they'll have significant capital gain liability when and if they sell it. And if there is a step up provision, that's patently unfair and leads to ineffective use of capital. If I have a farm or business which is being run inefficiently, the best thing for the economy it that I sell it to more efficient managers. In today's climate, many people don't to enjoy the step when passing it to heirs. This potentially exacerbates the problem.