This ensures that virtually all farms and most small businesses will have to incorporate to avoid the tax. The big kicker will be when inflation starts causing even small real assets to reach the minimum.
When the government owns everything, we’ll all be thankful for some beans and flour once a week.
Please remember that for a couple the figure is $7 million. How many family farms and family owned businesses are worth more than $7 million? Also, I believe when one spouse dies, the value of the real estate portion of the estate is set at the value it has on the day of death. If one then sells the property, no capital gains is paid on the run up before that person’s death. I am not clear on what happens to the value if the surviving spouse does not sell.
What is clear is that they very stupidly hav failed to put an inflation clause in the legislation, so we need to pressure the Senate to include than so we don’t end up with a big mess like the Alternative Minimum Tax. Dems have a clear majority in the Senate, so this aspect is the best chance we have to save a lot of suffering in the future.
In the late 1950’s, Social Security installed a one time death benefit of $255. This was intended to cover a basic funeral, and/or provide a couple of months financial cushion upon the death of a breadwinner. No provision for inflation was included, so here at least 60 years later we are still getting only $255 when our spouse dies. That figure should also be updated to present realities along with an inflation clause. Tell your Senators and Representatives.