death tax - The S Corporation Association

Death of Death Tax Repeal?

Yesterday’s Senate Finance Committee hearing on the estate tax resulted in some good theatrics, but little in the way of comfort to those family businesses attempting to plan their way past the tax.

Berkshire Hathaway’s Warren Buffett, the world’s third wealthiest man, was on hand to lend his support to the tax. Mr. Buffett argued that “dynastic wealth” is on the rise, putting lower income Americans at a great disadvantage. The estate tax is necessary, he observed, to help break up these large concentrations of wealth.

Mr. Buffett failed to recognize the impact the tax has on family-owned businesses. Nor did he …

(Read More)

Death Tax Compromise Talks in Senate

At the Finance Committee markup last week on the Agriculture bill, Senator Jon Kyl (R-AZ) offered an amendment to make permanent changes to the estate tax.

The Kyl amendment would have created a new framework for future estate tax levies with a $5 million unified exemption (per spouse) and a two-tiered rate system: capital gains rates for estates up to $25 million and 30 percent rates for estates above $25 million.

In exchange for Senator Kyl withdrawing his amendment, Finance Committee Chairman Senator Max Baucus (D-MT) promised to hold hearings on the estate tax later this year followed by a markup of …

(Read More)