Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
House Republicans Talk About Repealing the Estate Tax
Author: Scarinci Hollenbeck, LLC
Date: August 8, 2014
Key Contacts
Back
Republicans may cast a vote this year to repealing the estate tax in the U.S., according to House Ways and Means Chairman Dave Camp, R-Michigan, Bloomberg reported. Camp told reporters July 30 that a number of House members haven’t had a chance to cast their vote on the issue yet.
“It’s been a long time since we’ve had a vote on total repeal,” Camp said, according to the news source. “Obviously, I don’t believe death should be a taxable event.”
The bill, which would end estate and generation-skipping transfer taxes, is being sponsored by 221 members of the House of Representatives, according to Investment News. This is three more than is needed for a House majority. The bill would also make a 35 percent gift-tax rate permanent, with a $5 million lifetime exclusion.
There are a number of members who are motivated to get this vote for political reasons,” Palmer Schoening, executive director of the Family Business Coalition told the news source. “It’s the most popular bill in the Republican conference right now.”
Indeed, with virtually no chance of the bill passing the Senate before the November election, and still facing a veto from President Barack Obama, it is more likely that Republican members of the House want to showcase their position on this issue ahead of the midterm elections.
In his 2015 fiscal budget, Obama proposed a top estate and gift tax rate of 45 percent with a $3.5 million individual exclusion for estates and a $1 million exclusion for individuals, indexed for inflation, Investment News reported. Democrats favor expanding the estate tax, because they argue that eliminating or reducing it would almost exclusively benefit the extremely affluent.
President Bill Clinton vetoed a similar bill, and President George W. Bush signed a law that allowed the tax to expire for 2010 only, according to Bloomberg.
This estate tax repeal is directly involved with another topic regarding transferable taxes to future generations called gift tax. Tax attorney and co-editor James F. McDonough has written extensively on the subject. Check out some of his recent posts:
- Gift Tax Myths and Misunderstandings
- Don’t Leave Gift Taxes Out of Estate Planning
- Advantages of the Gift Tax Law
- Understanding the Perks, Exclusions of the Gift Tax Law
- Practices: Tax and Trusts & Estates, Estate & Trust Litigation, Real Property Tax Strategies
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
You Just Received a Federal Grand Jury Subpoena in New Jersey: Now What?
Receiving a federal grand jury subpoena is not something most businesses or individuals anticipate. While it can be concerning, a federal grand jury subpoena does not necessarily mean that you are being accused of wrongdoing. It does, however, mean that a federal criminal investigation is underway and that federal prosecutors believe you may possess information […]
Author: George McGowan
Why Every Business Should Conduct an Annual Insurance Coverage Review
Most New Jersey business owners purchase insurance policies, file them away, and assume they are protected if a claim arises. Without a regular insurance coverage review, many companies discover gaps only after a lawsuit, cyberattack, property loss, or other significant event occurs. An annual insurance coverage review can help businesses identify potential risks, ensure their […]
Author: George McGowan
Demand Letters & Cease and Desist Letters: When to Send One (and When Not To)
Businesses and individuals often encounter situations where another party breaches a contract, fails to pay a debt, or continues harmful conduct. In many such disputes, a precisely drafted demand letter or cease-and-desist letter serves as a powerful legal tool. It can frequently resolve the dispute and avoid litigation. While demand or cease-and-desist letters can resolve […]
Author: George McGowan
How to Effectively Use Contracts to Manage Risk
Key provisions in your contracts, including those relating to indemnification, insurance, and defense, are essential to contract risk management. While sometimes considered “boilerplate,” these provisions play a pivotal role when determining which party is responsible for certain costs and liabilities. They must always be negotiated and drafted carefully. Indemnification Clauses Businesses should never overlook the […]
Author: George McGowan
Understanding Portability for Estate and Gift Tax
Portability of estate and gift tax enables a surviving spouse to inherit any unused portion of their deceased spouse’s federal estate and gift tax exemption. So, if one spouse doesn’t utilize their full exemption, the surviving spouse can effectively double their exemption amount with regard to estate tax liability. For married couples, portability offers a […]
Author: Marc J. Comer
Pet Trusts in New Jersey and New York: A Practical Estate Planning Tool
For many of us, pets are more than companions—they are members of the family. Yet they are often overlooked or inadequately provided for when it comes to estate planning. A pet trust offers a legally enforceable way to ensure that your animal continues to receive proper care if you become incapacitated or pass away. As […]
Author: Marc J. Comer
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.