Posts Tagged ‘Death Tax’
May 8th, 2017 at 2:31 pm
New Poll: Americans Supportive of Trump Tax Proposals
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As we move forward on President Trump’s tax reform proposal, which we highlighted in our latest Liberty Update, there’s encouraging news to report.  According to Rasmussen Reports, Americans are so far supportive.

By a 46% to 32% margin, Americans support Trump’s proposal to repeal the unfair “death tax,” and by a 48% to 30% margin agree that tax cuts help the economy.  Voters are also receptive to the plan “to eliminate most income tax deductions in exchange for a higher standard deduction,” which will simplify the code and benefit Americans in the lower filing brackets.

So there’s popular momentum, and now it’s up to Congress to finally get this done.

January 1st, 2013 at 11:36 am
Why House Conservatives May Vote Yes

In a very lengthy post at The American Spectator, I explain why the castor oil produced last night might be more good than bad for conservative digestions — by just a tiny amount, to be sure, and even then only if conservatives start playing their cards better in the coming months, but still an amount worth considering.  Please do take the time to follow the link and read the whole thing, but for now, the main point is that this deal actually does retain the lower spending levels (on discretionary spending) that conservatives had wanted. This fact should not be lost in the din of wailing and gnashing of teeth.

For purposes of this post, let me add to that AmSpec mini-essay to focus on two aspects of this deal that conservatives should truly celebrate.

Both involve “permanent” (in legislative lingo) solutions to vexing tax issues that conservatives have long sought.

First, this bill would permanently establish a $5 million threshold before the death tax kicks in. This is a huge achievement, protecting the vast majority of small businesses and family farms from this horrible tax. Even better, it indexes the threshold to inflation — so the exemption from the death tax will only grow over time. This is terrific. It is good economics, good policy… in short, a very good win.

Second, this bill permanently protects tens of thousands, probably hundreds of thousands, of taxpayers, from the evil Alternative Minimum Tax. How? Again, by permanently indexing the current threshold for inflation. Rather than leaving this hidden time bomb ticking, forever threatening to explode, subject to repeated “fixes” at the last minute by harried congressmen, this now enshrines into law the protections that all current taxpayers still below the AMT level now enjoy.

These are not achievements to scoff at. Sometimes it makes sense to bank some gains and come back to fight another day for other things of importance.

March 15th, 2012 at 12:47 pm
Putting a Face to the Ruin of the Death Tax
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Conservatives could probably learn a thing or two from Saul Alinsky. Bear with me here. While Alinsky may have promoted thuggish means in the service of repugnant ends, it doesn’t mean the man didn’t have some genuine insights into political strategy that — applied with a dose of morality — could help the right.

One of Alinsky’s tactics (to be specific, it’s actually part of the 11th rule for radicals) is to personalize attacks on your opposition (i.e., go after a specific individual rather than an abstract entity). This also works, however, in reverse. When you’re trying to portray the suffering caused by big government, use a human interest example rather than generically inveighing against state excesses.

My friends over at the Beacon Center of Tennessee (I worked there back when it was the Tennessee Center for Policy Research) have put this principle to great use in a new video that makes both the moral and economic case for abolishing the Volunteer State’s death tax. In the story of Roger Blackwood, a 77 year old Tennessee farmer whose family stands to lose the products of his life’s work because of the estate tax, they’ve found a compelling narrative that underscores an important point: the estate tax amounts to the outright theft of a family’s legacy. This is, by my lights, utterly brilliant:

December 3rd, 2009 at 2:37 pm
House Votes to Increase Death Tax
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Having never met a tax increase they didn’t like, Democrats voted to increase the Death Tax today.

Under current law, the Death Tax was set expire in 2010.  Now, starting in January, the tax could increase from 0% to 45%.  Not one Republican voted to increase the Death Tax, proving that the GOP still has some semblance of a fiscal spine.

All hope is not lost, however, as the Senate still has to take up the measure and pass the House version of the tax increase.  It must then go to President Obama’s desk for signing.

The final vote was 225 to 200 (218 needed for passage).

December 2nd, 2009 at 12:04 pm
Congress to Vote on Death Tax Hike
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This week Congress will vote on whether to increase the Death Tax from 0% to 45%.  That’s quite the tax hike for an economy with 10.2% unemployment.

Under current law, the Death Tax is set to expire in 2010, but under the misleading, “Permanent Estate Tax Relief for Families, Farmers, and Small Businesses Act of 2009,” Congress could give the gift of a 45% tax hike during this holiday season.

Only in Washington is a 45% tax hike called “Tax Relief.”

You can find the text of the legislation here, but you’ll notice in the bill that the tax threshold is not indexed for inflation.  As a result, in approximately 40 years, half of the U.S. will be hit with the Death Tax.  So much for only soaking the rich.

Call your representative at 202-224-3121 and tell them to vote “No” on H.R. 4154.  Real tax relief means a 0% rate, not 45%.