If you think the Dems are only after billionaires (and I know you don’t) then think again. Here you get a look at how they’d treat an estate worth $3.5 million, which will cast a huge net capturing savers like you.
Anna Sulkin writes at WealthManagement.com:
Rep. Jimmy Gomez (D-Calif.)recently introduced legislation, For the 99.8% Act (the Act), aimed at lowering the estate tax exemption amount and increasing the tax rate for some of the wealthiest Americans. The Act is identical to the legislation introduced by Sen. Bernie Sanders (I-Vt.) earlier this year.
Under the Act, estates would be taxed at a progressive rate structure starting at 45% for estates valued between $3.5 million and $10 million, 50% for those estates valued between $10 million and $50 million, and an increased rate of 55% (instead of the current 40%) for estates valued between $50 million and $1 billion, while estates worth over $1 billion would be taxed at the highest rate of 77%. This of course would be a sharp departure from the current law, under which there’s currently an $11.4 million estate and gift tax exemption for individuals.
Read more here.
