Comments about ‘My view: Reform estate taxes to protect farmers and ranchers’

It's hard to feel sorry for those with over a million dollars to pass on to their heirs.

Quoting the top marginal rate is deceptive. Only an estate worth over $72 million dollars would reach 55% in total tax. An estate worth $2 million has a marginal rate of up to 45%, but the total tax rate would be 21.75% (remember, the first $1 million is not taxed).

Also, I understand that in the years before 2002, when the exemptions were under $1 million, few farms actually had to be sold by the children to pay the estate tax when their last parent died. If I heard wrong please correct me. Perhaps there are a variety of tax avoidance methods available through financial planning.

That is why you need to work around the estate tax. Create the farming business as a LLC, SCorp, or a regular corporation. Then if you want to pass it on have your descendants "buy" the shares. Have them buy enough so the remaining shares can be passed down without triggering the estates tax. You have to remember.
Everytime congress makes a tax law to close a door on a loophole, they create at least 2 more in its place.

I oppose estate taxes. But more than that I oppose tax loopholes for rich businessmen. Even those who call themselves farmers.

I believe that all government should be paid for by a flat rate personal income tax applied to every kind and sort of income without exception and without deduction.

Money, property, wealth that is inherited from an estate of any sort is income to the person receiving that inheritance and should be taxed as income to that individual.

The perpetuation of an elite class of people because of the accident of birth is morally wrong and is directly opposite to the American idea of equal opportunity.

I appreciate the service that farmers give to society but it is no more noble or important than the services we receive from others like business and government.

Why should inheritance be taxed in the first place? Didn't Grandpa buy the land with money that was taxed at one time?

Is it me, or does this just smell of double taxation?

Look at it this way. If I work all my life, and save $1 million, I have already paid taxes on that money once as I was earning it, and any dividends were also taxed. So, if the money was taxed as I earned it, why do my kids have to pay taxes on it when I die?

Quick answer to Redshirt: estates should be taxed because the assets change hands to those of new owners, even if the new owners are part of a family. As others have pointed out, the exemption for assets is up to a million dollars. If assts are lost because they must be liquidated for taxes, that means that someone who should have made plans failed to do so.

To "Mark B" they are not buying the property, it is an inheritance. You are missing the point. Isn't it double taxation to tax the inheritance that I leave to my children? If $1 million is the limit for avoiding the double taxation, why set that limit, why not $100,000 or $100 million, why $1 million.

Again, the issue is double taxation on the inheritance that I intend to leave to my children.

I don't think the government is entitled to anything on someone's estate. Redshirt is right- that money has already been taxed- why is the government "entitled" to it just because you die? The answer is- they really aren't. Shouldn't matter how much it is, it has already been taxed once. Taxes have already been paid once- if they have to be paid on the same money again- I agree- double taxation.

Redshirt1701.

Using your logic, there would not be any taxes at all, ever, because all the money in circulation has been taxed at one time or another. If your grandfather had given me some money, I would have to pay income tax on it.

Your grandfather worked and earned his income and probably paid income tax on it. His kids did not work for and earn that money. The fact that your grandfather paid taxes on his income does not exempt his kids from paying income tax on the money he gives to them.

Unscrupulous people have created all kinds of schemes and scams to avoid their share of the government cost. Like capital gains, inheritance, etc. etc. The income tax is the most accurate way to spread the costs. All money received should be counted in the tax calculation as “income”.

I agree farmers should be able to pass farms to their children, assuming the children agree to farm the land and not sell it. If they sell the farm, they should then pay the estate tax.

No problem Joe, all they have to do is incorporate in the Caymen Islands and apply for more subsidies from the Federal government like they do now.

Ask your local farmer if he isn't getting a welfare check from the government. Farmers had never been rich in all the history of the planet until republicans started giving them money to grow, or not to grow things. And these are rural republicans! It's the biggest hypocricy in the country.