As of 1-1-10 there is no longer an estate tax in the United States. Has the Obama administration lost their mind? Have they abandoned income redistribution? Neither. They and Congress just missed another deadline.
The Bush administration tried to do away with the death tax, but Congress and the Democrats would have none of that. It brings in over 20 billion a year that the government can squander on earmarks. Can’t give those up since they help politicians get reelected.
So, how did this happen? As Dick Durbin complained the poor senators had to stay in Washington and work 23 straight days. Can you imagine that? Twenty three straight days to buy votes to get health care reform through the senate. My heart goes out to each and every one of them.
This didn’t allow any time to mess with the estate tax laws. But, you can rest assured they will get to it as soon as possible in 2010. And, they will pass something onerous and retroactive. Which, will, of course, create a bevy of lawsuits. Isn’t this cute?
Estate taxes are taxes on top of taxes that people who earned the money paid. They cause small businesses to go out of business and farms the same. Heirs must sell to pay the taxes.
So, if you have a lot of money and your kids know they can escape the estate tax until congress fixes the problem, I suggest you hire a food tester. Some rich people were on life support, seriously, trying to keep them alive until 2010.
Once again, the ineptitude of government astonishes.
