The Republican tax plan will exempt the 0.2% of Americans who pass on estates of $5.49 million (each) to their heirs, a tiny elite that includes most of the Trump cabinet of one-percenter plutocrats; under the Senate proposal, that exemption would double.
The argument against inheritance taxes is that they're "double taxation" because the savings were taxed once as earnings and then again as estates. But the 0.2% who currently pay estate tax primarily accumulate wealth through investments that are not taxed until they are sold -- in other words, Trump is about to give the 0.2% a tax holiday.
Trump has lied about the estate tax, saying that it is "[crushing] millions of small businesses and the American farmer." Last year, 2,204 families held estates that would have paid any tax under the estate tax.
“It was a kind of imperfect substitute or surrogate for the capital-gains tax,” Wojciech Kopczuk, an economist at Columbia University, explained. “It’s a roundabout way of getting some revenue that escapes some other type of a tax.”
In the past, a reduction in the estate tax was always coupled with a plan to end the protective shell that encases inherited capital gains and keeps them from being taxed.
“What’s unusual about the current bill is that when there’s been previous efforts to cut back or repeal the estate tax, there was also an effort to change the tax on capital gains,” said Michael J. Graetz, a Treasury official in the elder President George Bush’s administration and a co-author of a book on the estate tax.
Who’d Gain From an Estate Tax Rollback: The 0.2 Percenters
[Patricia Cohen/The New York Times]
(via Naked Capitalism)
(Image: Trump Organization, CC-BY-SA)
Donalddaters.com is an app for people who want to have sex with white supremacists; it launched today and promptly leaked all 1600 of its users' data: "users' names, profile pictures, device type, their private messages — and access tokens, which can be used to take over accounts."
70% of global emissions come from 100 companies: Koch Industries' annual carbon emissions bill is 24 million tons.
When Obama took office, he took over from one of the least popular presidents in US history, 22% George Bush, a liar who tortured and spied his way through an illegitimate war that we're still fighting, and next year's deployment will include soldiers who weren't even born when the war started.
Speed reading isn’t just an innate skill possessed by a lucky few. Anyone can learn to speed read, and the benefits are endless. The brain can process more information than most people have time to soak up, but you can make that time now with the 2018 Award-Winning Speed Reading Bundle. The first half of […]
Sure, you could use the same old PowerPoint templates for your next business presentation. It’s not like you have bosses or investors to impress. Oh wait, you do? Time to augment that slideshow with Slideshop – the presentation tool that can individualize your pitch while saving you time. Compatible with PowerPoint, Keynote and Google Slides, […]
Multinational companies have used the no-nonsense methodologies of Six Sigma and Lean Six Sigma to oil a smooth-running operation for years. What is it? Six Sigma (and its offshoot, Lean Six Sigma) apply the principles of science to business, teaching managers to methodically target waste, maximize output and streamline the flow from producer to consumer. […]