Estate taxes and the basis step-up

Reader comment on: Andrew Sorkin on Estate Tax and Carry-Over Basis

Submitted by David E. Moran (United States), Feb 27, 2019 17:32

What Sorkin misses, of course, and I am afraid you do, too, is the way estates are taxed. Estate taxes are measured by the value of the assets in the estate at date of death. This includes the "step-up" you refer to. If the date of death value exceeds the current estate tax exemption then estate taxes are due. So closing this step-up "loophole" is not as necessary as one might think. At the very least, anyone writing about this should at least describe these effects -- and, sorry to say, it is part of estate planning 101, not some sophisticated dodge. Ask any estate lawyer. Don't just read liberal talking points!

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Title By Date
Thanks but no thanks [63 words]Murray MilesFeb 28, 2019 10:10
Repeal 16th Amendment and the Income Tax (aka, "Progressive" Slavery) [203 words]LawrenceFeb 28, 2019 04:26
Loopholes are life-savers [120 words]Harry BinswangerFeb 28, 2019 03:25
To tax capital gains made despite relentless tax skims [3 words]James BradleyFeb 27, 2019 19:41
To tax capital gains made despite relentless tax skims [3 words]James BradleyFeb 27, 2019 19:40
Just kill the Death Tax [31 words]David Lang WardleFeb 27, 2019 18:12
⇒ Estate taxes and the basis step-up [112 words]David E. MoranFeb 27, 2019 17:32
giving away the store at the first point of negotiation [110 words]John GillisFeb 27, 2019 17:16

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