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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: lawdog who wrote (50067)	10/20/2000 8:50:19 PM
From: gao seng	Read Replies (1) \| Respond to of 769667

Some of the capital gains income that escapes taxation under the income tax may be taxed under the estate tax. The appreciated value of the asset is included in the estate and, if the estate is large enough, subject to taxation. The asset is double taxed, the estate tax and then the inheritance tax. That is the problem. The estate tax is called a voluntary tax by lawyers. They say you can pay the tax or you can pay the them.

To: lawdog who wrote (50067)	10/20/2000 10:13:08 PM
From: gao seng	Read Replies (1) \| Respond to of 769667

That is the BIG problem. How to separate the super wealthy individuals from the hardworking families who want their children to at least become wealthy. The estate tax mostly works against the hard working, and hardly affects the super wealthy. It is obvious, and only the Republicans address the issue. Is their plan the correct one? Probably not. It would sure be nice if the democrats would admit that this is a problem, and the two parties work together to solve it. But all the democrats want to do is humiliate.

To: lawdog who wrote (50067)	10/20/2000 10:30:40 PM
From: Brumar89	Respond to of 769667

Re. estate tax repeal and the stepped up basis issue: Apparently the recent Death Tax Elimination Act of 2000 which was vetoed by Clinton would have repealed the stepped up basis: deathandtaxes.com Here is an excerpt: SEC. 102. TERMINATION OF STEP UP IN BASIS AT DEATH. (a) TERMINATION OF APPLICATION OF SECTION 1014- Section 1014 (relating to basis of property acquired from a decedent) is amended by adding at the end the following: "(f) TERMINATION- In the case of a decedent dying after December 31, 2009, this section shall not apply to property for which basis is provided by section 1022.". (b) CONFORMING AMENDMENT- Subsection (a) of section 1016 (relating to adjustments to basis) is amended by striking `and' at the end of paragraph (26), by striking the period at the end of paragraph (27) and inserting `, and', and by adding at the end the following: "(28) to the extent provided in section 1022 (relating to basis for certain property acquired from a decedent dying after December 31, 2009).". So it seems Congress was giving something with one hand (estate tax phase-out) and taking away with the other (elimination of stepped up basis on inherited property). Sneaky, huh?