One of the key beliefs in the Marxist ideology is no one should own property privately, and one way to erode private ownership is to destroy inheritance.
President Biden has proposed a new death tax to help pay for his $3.5 trillion social welfare expansion and to further the ideology of envy and theft — socialism.
He is getting resistance from Congress, including a top farm state Democrat who warns that the tax will hurt family farms, The Washington Times reports.
The proposal would change the way capital gains are calculated on inherited assets worth more than $1 million. It will take a larger bite out of inherited stocks, real estate, businesses, and farms.
And this is only the beginning.
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Of all the proposed tax increases to help pay for Mr. Biden’s bigger welfare state, this one would have the greatest impact and rake in an estimated $800 billion in revenue.
DEMOCRATS WILL PICK WINNERS AND LOSERS
Mr. Biden has said he would give breaks to “certain” family-owned businesses, possibly farms, but that hasn’t sold the idea for House Agriculture Committee Chairman David Scott, Georgia Democrat.
“I am very concerned that proposals to pay for these investments could partially come on the backs of our food, fiber, and fuel producers,” Mr. Scott wrote to Mr. Biden in June.
On the eve of the House’s first planned vote on the $3.5 trillion budget bill, the lawmaker’s worries had not been allayed, a spokesman said Scott.
What right does he have to any of this money? It’s theft. There is no viable reason to levy a tax because it is inherited. It’s property that has been taxed over and over.
Proprietors of small businesses also are worried.
Communist lawmakers such as Sens. Bernard Sanders of Vermont and Elizabeth Warren of Massachusetts have said a repeal of what is known as a step-up basis would finally make millionaires and billionaires pay their fair share.
Bernie has already said 90% is a fair share or more. Watch:
Elizabeth Warren also sees a 90% rate in our future.
THE DEATH CALCULATION
The calculation would apply the capital gains tax to the increased value of an asset during the deceased’s lifetime. Inheritance currently is subject to a capital gains tax on the asset’s value at the time of death, or its step-up basis.
Pat McDowell said the tax would spell the end of the McDowell Ranch, which he owns with his two brothers in central Texas.
The brothers want to pass the ranch to their niece to keep it in the family, as it has been for five generations. If the proposed tax is approved, she would have to sell off part of the ranch just to pay the death tax, he said.
Then there might not be enough ranch left to thrive.
“This plan punishes our family, just because we want the next generation to be able to make a living in agriculture,” Mr. McDowelll said.
The federal government already imposes a death tax on the total value of an inheritance, but only 50 of 31,000 farms whose owners died last year were subject to the tax, according to the Agriculture Department.
More farms, businesses, and estates are expected to be taxed under Mr. Biden’s proposal.
The tax kicks in when the deceased has a net worth of $11.7 million or more, and it applies a 40% tax after the first $1 million in taxable assets.
The Biden death tax would apply a 40.8% capital gains tax to inherited assets with an exemption for the first $1 million and another $250,000 exemption for a personal residence. Married couples would get a $2 million exemption and the exemption for their residence, according to the proposal.
THE SOCIALIST/COMMUNIST BILL
Democrats plan to pass the bill in party-line votes in the House and Senate. They will use a special budget procedure known as reconciliation, which allows the Senate to avoid the 60-vote hurdle that most legislation must clear. Instead, Senate Democrats plan to pass the legislation with a simple 51-vote majority, with Vice President Kamala Harris breaking the tie. That is the only way Democrats can get the liberal wish list of anti-poverty, education, and health care programs through the evenly split Senate.
In reality, the bill is an enormous welfare, socialist bill. God help America. It puts us on the road to full-blown socialism/communism. It’s wealth redistribution to a degree that Karl Marx would have marveled over. It’s pure theft.
The bill isn’t a budget bill and Republicans should sue, but they haven’t shown any signs that they will.
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