Thursday, April 21


Unconscionable! 42 Democrats in the House voted to repeal the estate tax, putting still more money into the coffers of the uber-wealthy and increasing the deficit. And for what reason?

There was no good policy reason for a Democrat to vote to kill the estate tax outright. (Perhaps some of the 42 felt that opposing the estate tax repeal would bring upon them a barrage of ads claiming they support the "death tax.") Under existing law, the estate tax is scheduled to decrease gradually over the next four years and is then repealed totally in 2010 before returning in full force in 2011. The Republicans came up with this nutty schedule several years ago to keep the cost of their tax cuts within agreed upon budget limits. And they wanted to make Bush's tax cuts look less expensive than they were. But that was obviously a ruse at the time. The GOPers were not interested in truly being fiscally responsible. And this repeal will add, according to the Tax Policy Center, $270 billion to the national debt in the next decade. It also will only benefit a very small number of taxpayers--perhaps about 30,000. This is a sop for the super-rich. Estates smaller than $1.5 million (or $3 million a couple) are now exempt from the tax. And when the House Democrats offered to raise the exemption to $3.5 million--which would exempt all but the top .3 percent of estates--the Republicans said no. They wanted the deepest-pocketed Americans--that is, the heirs of these people--to have more in their pockets.


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