How exactly would Sensible Tax Reform affect estate taxes?
The estate tax is another one of the federal taxes on individuals which will be fundamentally changed by Sensible Tax Reform. Estate taxes are the most progressive taxes imposed by the federal government. However, very few estates actually pay any estate taxes even under the current system. Less than of 1% of American estates pay any estate tax at all and the average effective tax rate is less than 18%. Yet, a very aggressive, well-funded and deceitful attack on the estate tax by a very small group of very wealthy families has most Americans believing that it is an oppressive death tax which affects much of the population. These deceivers claim that the estate tax imposes horrible burdens on the heirs, who often must sell the family farm or business to pay the taxes. That is a total and deliberate distortion–a complete fabrication.
