If the estate tax is re-instated, then Obama’s administration will have presided over the single largest tax hike in the histiry of the U.S.
If you don’t think too hard about it (presuming you are a young whelp not knowing any better), a tax on anything over $1,000,000 (that’s one million dollars) sound like reasonable redistribution from the “rich” to, um, “society.” But to many retirees who bought houses in the 1960’s for $30,000 and have saved up consistently since then, a million dollar estate is common. Divide that by a few kids, and each of them by a few grandkids, and you tell me: Wouldn’t letting the heirs keep “all” of their share of that money stimulate the economy quite meaningfully?
Just like corporate taxes and regulations, only the largest can afford the specialist accountants and lawyers to defend them. Meanwhile, the middle class gets routinely decimated.
references:
http://www.frumforum.com/the-tax-that-started-the-tea-party (and my comment)
http://www.physiciansnews.com/finance/405.html
http://wills.about.com/od/understandingestatetaxes/a/estatetaxchart.htm
http://www.usatoday.com/money/perfi/taxes/2010-07-21-estatetax21_CV_N.htm