Bringing The Death Tax Back To Life
"Lawrence Summers, President Obama's chief economic adviser, declared recently that 'Let's be very clear: There are no, no tax increases this year. There are no, no tax increases next year.'” (CNBC, Interview Transcript With Larry Summers: http://thepage.time.com/cnbc-
Except For This:
"The President's budget calls for the largest increase in the death tax in U.S. history in 2010.
"The announcement of this tax increase is buried in footnote 1 on page 127 of the President's budget. That note reads: 'The estate tax is maintained at its 2009 parameters.' This means the death tax won't fall to zero next year as scheduled under current law, but estates will be taxed instead at up to 45%.
"In other words, by raising the estate tax in the name of fairness, Mr. Obama won't merely bring back from the dead one of the most despised of all federal taxes, and not merely splinter many family-owned enterprises. He will also forfeit half the jobs he hopes to gain from his $787 billion stimulus bill. Maybe that's why the news of this unwise tax increase was hidden in a footnote." (Editorial, “Night Of The Living Death Tax,” Wall Street Journal, 3/31/09)
Are President Obama and his chief economic advisor unaware of what is actually in their budget plans or are they intentionally misrepresenting unpopular tax provisions to the American people?
Whatever the reason and contrary to Mr. Summers claims, it’s clear that Americans, and our country’s small and family-owned businesses in particular, have much to worry about in the way of new taxes.