Is taxing inherited money double taxation or taxing new gains? (Harry Reid, Pelosi)
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I'd be interested in knowing what that farm was worth cuz it must've been ONE HELL of a farm considering how high the exemption is.
The exemption isnt really that high. One building can easily exceed the limits. Farms are priced high because of the acres needed to do farming. The land is expensive because you cant find large tracks of land left for development.
There is one for sale in California for example with just 25 acres, priced at $12M
Does the inheritor pay twice on the income, no. In fact depending upon the what is being inherited, life insurance for example, it may have never been taxed before.
Which i'm sure is the dream of some people around here.
Yes the American Dream
Work hard play by the rules and enjoy YOUR REWARDS
Wealth redistribution is the destruction of wealth. If you work hard, succeed and make an income that hits some kind of arbitrary level, you are expected then to kick that back to the government so that the public sector can then make sure that those who perhaps have not worked hard or succeeded get an income, too.
Liberals seem to have an inferiority complex - and it's fully justified. !
Most taxation is effectively double taxation. When I pay sales tax, the money I use to buy the article has already been taxed. When I make an investment and pay capital gains, the money I used to make the investment has already been taxed. Inheritance tax is far from unique in being a double tax.
So, the question is whether inheritance tax is grossly unfair compared to other double taxes. Like many people, I don't like tax even tough I recognize that its a necessary evil. I think that inheritance tax bothers me less than other forms of double taxation because I won't be the one having to pay it.
New gains, of course. If you didn't earn it yourself, then you should pay tax on it with few exceptions. Hell, there isn't a dollar in circulation (ok...maybe a hot one off the printing press) that hasn't been taxed as earnings for somebody. If we exempted every dollar that has already had tax payed on it, we'd collect no taxes. Which i'm sure is the dream of some people around here.
So what you are saying is that I should continue to buy things under land trusts and investment trusts and then assign my children as the trustees to them, even though I have control, in order to avoid having the assets I've acquired my whole life ripped off of them upon my death?
We tax income in this country. I'm not sure if me leaving assets to my kids would qualify as income. If it is income, then why the exemption? Why shouldnt EVERYONE have to pay the estate tax? I know, its because they set the limits so high to make sure a minority pay the tax because if everyone paid it, you would understand how much of a rip off it is..
Most taxation is effectively double taxation. When I pay sales tax, the money I use to buy the article has already been taxed.
Yes but sales tax goes to the state, and its a consumption tax, not on profits..
Quote:
Originally Posted by Jaggy001
When I make an investment and pay capital gains, the money I used to make the investment has already been taxed. Inheritance tax is far from unique in being a double tax.
In order for this comparison to be valid, this would be the same as
Investing $100,000 in a deal, and then when you earn $10,000 profit, you pay taxes on the $110,000 TOTAL, not just the profit, because thats what this is. You arent taxing profit, you are taxing assets..
Quote:
Originally Posted by Jaggy001
So, the question is whether inheritance tax is grossly unfair compared to other double taxes. Like many people, I don't like tax even tough I recognize that its a necessary evil. I think that inheritance tax bothers me less than other forms of double taxation because I won't be the one having to pay it.
At least you are honest, it doesnt bother you because it doesnt affect you. It wont affect me either but it does bother me to invest $x, and profit $y, and then be taxed on $x + $y.. seems grossly unfair..
So, the question is whether inheritance tax is grossly unfair compared to other double taxes. Like many people, I don't like tax even tough I recognize that its a necessary evil. I think that inheritance tax bothers me less than other forms of double taxation because I won't be the one having to pay it.
Right, b/c liberals generally don't give a rat's patoot about things that don't affect them, unless we're talking about the poor, in which case they feel justified in stealing from the rich. I've never met a liberal who met a tax he didn't like...mostly b/c it doesn't affect him...again, with the exception of taxing the poor their fair share.
Liberals seem to have an inferiority complex - and it's fully justified. !
LMAOOOOO!! Inferior to who? YOU? Don't flatter yourself.
I mean seriously, if someone is going to make me feel inferior, it would be Bill Gates or Warren Buffett.
Last edited by CaseyB; 12-14-2010 at 12:41 PM..
Reason: off topic
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Don't flatter yourself.
