General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsUltra-Rich Skip Estate Tax and Spark a 50% Collapse in IRS Revenue
(Bloomberg) -- Revenue from the U.S. estate tax has been cut in half in two years, new data from the Internal Revenue Service shows, even as dynastic wealth soars.
Just 1,275 wealthy families paid $9.3 billion in estate tax to the U.S. Treasury in 2020. As recently as 2018, the IRS collected more than $20 billion from nearly 5,500 families.
The dramatic decline -- to the point where the tax is paid by 0.04% of dying Americans -- is largely the result of the tax overhaul enacted by Republicans in 2017, which doubled the amount the wealthy can pass to heirs without triggering the levy.
Married couples can now transfer $23.4 million over their lifetimes tax-free, but families with vastly greater sums can hire sophisticated advisers to get around the tax. Nike Inc. founder Phil Knight used a variety of techniques to transfer billions of dollars to his family tax-free, according to a Bloomberg investigation last month.
https://www.msn.com/en-us/money/taxes/ultra-rich-skip-estate-tax-and-spark-a-50percent-collapse-in-irs-revenue/ar-AAQRR0y
Just what this country needs more trustafarians.
live love laugh
(13,118 posts)WarGamer
(12,452 posts)finds a way to make a few hundred dollars a week selling flower arrangements at the Farmers Market.
WarGamer
(12,452 posts)Wealth Tax Now.
roamer65
(36,745 posts)Direct investment into business and jobs IN AMERICA.
Build Back Better.
NowISeetheLight
(3,943 posts)With the "step up" valuation of property and stocks on death the gains all those years are never taxed.
https://www.americanprogress.org/article/3-alternatives-taxing-capital-gains-wealthy/
http://pmuniversity.org/tax-basics/loopholes-102-stepped-up-basis/