Posted on 10/16/2019 9:11:43 AM PDT by SeekAndFind
In America, if you play by the rules, working to earn a living and saving to provide for the future, taxes take a piece of your earnings. If you win a state lottery, you owe tax. But if you get lucky in the lottery of life and land an inheritance, you owe no federal tax. That isn’t fair, is it? Extending the federal tax code to include inheritances would end that inequity. Inheritance taxes — regulated differently in the states that have them — are a levy paid by a person who inherits money or property of a person who has died.
Extreme inequality is troubling both because it fosters gross and wasteful consumption and because it undermines the principle of political equality: Nearly unencumbered transfers of wealth permitted under current law perpetuate those imbalances, creating dynasties of the rich and hampering economic and social mobility.
“Ah,” you may be thinking, “Don’t we have an estate tax to break up wealth dynasties?” We had one once. But now it arguably exist only in name.
As recently as 1976 the estate tax applied to more than 7 percent of all descendants at a top rate of 70 percent. In 2019, however, just 0.07 percent of all descendants will owe any estate tax, a 99 percent decrease. Successive increases in the estate tax exemption over the last political generation have let all but the wealthiest — and those who neglect to consult lawyers and accountants — escape estate tax almost entirely. Ed McCaffery, a law professor at the University of Southern California, has described it as being akin to a “voluntary tax.”
(Excerpt) Read more at nytimes.com ...
“ How many times do you want to tax it.”
Until they have all of it.
L
My husband’s family had to sell the family farm to pay taxes (not in arrears). Each sibling was promised 15 bucolic acres in upper Bucks County, PA on which to build a house. Instead they each got a few thousand measly dollars.
What they are missing, is that if you inherit money, that you will be taxed on interest income or investment earnings from the inheritance.
This article starts from.a false premise that somehow there are no taxes owed in the inheritance situation.
“That isn’t fair, is it? “
What does fair have to do with it? Someone already paid taxes on the worth before they passed, why isn’t that enough? And since it was earned by someone wishing for someone to have it and depending on which states you live in will depend on if you have to pay taxes on something that was already taxed to earn and is nothing more than existing. Plus the person(s) inheriting the worth will be paying fees too a lot of people to receive it, thus creating work the states will tax.
You could almost call this a monopoly by getting something for nothing.....or maybe a racket. Currently, there are six states with an inheritance tax. These states include: Iowa, Kentucky, Maryland, Nebraska, New Jersey and Pennsylvania. Instead of making it fair by taxing people for previously taxed worth, get rid of the state laws that tax property that has nothing to do with them already paid for.
rwood
“In America, if you play by the rules, working to earn a living and saving to provide for the future, taxes take a piece of your earnings”
EXACTLY> So what you choose to do with the rest is your business
“most inheritances consist of gains on financial assets or on businesses that were never taxed and under current law never will be.”
Working capital, ‘seed corn’, the stuff that creates jobs and makes money for the so called underclass.
Anyone else remember the boat builders that lost their jobs because government decided to tax the rich and added extra taxes to luxury boats.
The government took the money away from the boat builders through trickle down taxation.
So, he’s saying we should work all our lives so we can leave our estate to the government.
Plank #3 of the communist manifesto: Abolition of rights of inheritance.
Commies are sooooo greedy.
This would be called “the estate planning lawyers’ security act.”
Except for the Clintons none of them are billionaires. Liawatha Warren want to tax the rich but only if they have a bigger pocketbook than she does.
Pure BS!
Which is why my wife and I have an appt., this morning with our estate attorney to update and revise our estate plans, #5 change in about 30+ years.
Things change over time, and we want to make sure that our Grand kids, Church and the local Salvation Army are taken care of.
Adult children are not being disinherited, they need to see our attorney to protect what in their estates to keep the Feds and Cal Tax suckers from sucking up what is left after their high taxes for 30+ years of good earnings, investments and savings.
We are not billionaires nor multi millionaires.
My wife and I are depression babies, who started working and saving as young teenagers, and later investors in America.
President Trump’s economy has been great for our IRA’s and cash flow.
We feel that we have been taxed enough in our lives and want to legally avoid being taxed after we leave here.
So if you want your wealth to go to your descendants rather than to the federal government, you need to stash it overseas in Swiss bank accounts or other safe places.
“The parents build a business and leave it to their children, who then have to sell off a significant portion, fatally damaging the business, in order to pay taxes. Sure, that’s fair.”
We have been seeing that disaster in friends and those we know at an increasing rate due to the ages of our friends.
So why didn’t he give it to them while they were alive?
As it is it was off to Harrisburg to be used in the usual graft, corruption, kickbacks and cronyism that are the hallmark of this state.
I'm sure some of it went to charity.
Or at least some stripper named Charity.
I bet these people don't feel "lucky" that their parents died.
-PJ
Isn’t the entire DEATH TAX CONCEPT WE ALREADY HAVE based on this premise?
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