How does the Death Tax help the Republicans base?

[ClosedCaption]

Someone on C-span complained about the death tax saying that the republicans need to eliminate it followed by "they need to stand strong and do this for us"

Who benefits from the death tax? Does it apply to most americans?

I cant think of any republican proposals that help "regular joes" unless it's through the theory of trickle down. Which, of course, only trickles down if the people getting the money DECIDES to let it trickle down in the first place.

Sorta like setting a fire and hoping that someone with a hose will decide to put it out

 

[shintao]

Someone on C-span complained about the death tax saying that the republicans need to eliminate it followed by "they need to stand strong and do this for us"

Who benefits from the death tax? Does it apply to most americans?

I cant think of any republican proposals that help "regular joes" unless it's through the theory of trickle down. Which, of course, only trickles down if the people getting the money DECIDES to let it trickle down in the first place.

Sorta like setting a fire and hoping that someone with a hose will decide to put it out

When you die the state taxes your estate (house/goods), and your relatives have to pay a death tax. Most people get a living trust that passes the estate to the next of kin, in which case no taxes need be paid. It usually costs up from $1000. to get the trust set up, so many people don't do it. If the taxes are not paid at your death, the state sells the property to get it.

 

[JoeB131]

FIrst and foremost, they need to stop calling it the "Death Tax". It's an "Estate Tax". The dead guy ain't paying it, his heirs are, and they still have more than they had when they started.

But I think the reason why it grates most Americans the wrong way, even the 99% who aren't affected by it, is because the whole notion is that you pay taxes your whole life, and government find a way to squander it or use it to pay off cronies or encourage bad behavior. But the very notion that after all that, you manage to find just enough to leave to your kids, and the government wants a chunk of that, too! Whiskey Tango Foxtrot?

 

[JamesInFlorida]

If your next of kin has/have to pay an estate tax-you did something wrong. It's very simple to avoid.

edit: With that said I don't believe in it, because it's money that's already had income tax collected from it.

 

[The Rabbi]

Someone on C-span complained about the death tax saying that the republicans need to eliminate it followed by "they need to stand strong and do this for us"

Who benefits from the death tax? Does it apply to most americans?

I cant think of any republican proposals that help "regular joes" unless it's through the theory of trickle down. Which, of course, only trickles down if the people getting the money DECIDES to let it trickle down in the first place.

Sorta like setting a fire and hoping that someone with a hose will decide to put it out

The main beneficiaries of the estate tax are lawyers and accountants, who make money advising people how to avoid it. The government gets very little money for. It is a classic example of a tax that is simply a drag on the economy that serves no useful purpose.
The only purpose is political because it lets Democratic morons demagogue the "rich are out to screw you" thing.

 

[R.D.]

FIrst and foremost, they need to stop calling it the "Death Tax". It's an "Estate Tax". The dead guy ain't paying it, his heirs are, and they still have more than they had when they started.

But I think the reason why it grates most Americans the wrong way, even the 99% who aren't affected by it, is because the whole notion is that you pay taxes your whole life, and government find a way to squander it or use it to pay off cronies or encourage bad behavior. But the very notion that after all that, you manage to find just enough to leave to your kids, and the government wants a chunk of that, too! Whiskey Tango Foxtrot?

It's semantics. Death tax is much uglier emotionally than estate tax. I was lucky once to sit in on a Frank Luntz presentation - he is credited for the popularity of the term


Simply put, the federal estate tax does nobody any good.....

Democrats and liberals like the estate tax for three non-utilitarian, demagogic reasons:

The Republicans don’t like it;
Their political base will never have to pay the tax; and
It fits in nicely with their thinly disguised tactic of pitting the middle-class and the poor against the rich. Tax Lawyers Blog