“Egregious Tax Loophole” To Be Closed

When the 13th amendment was sold to the American public in 1912-1913 they were told it would only apply to the mega rich.  That information was a little thin in details on how exactly only the mega rich would pay.  Do you, dear reader, pay any income tax? (Whether that be your personal income or indirectly pay someone else’s?)  You should read our article Taxes Destroy Wealth.

Here we go again….candidate Clinton is proposing a new higher estate tax rate of 65%.  Read that again.  When you die the government will get 65% of your estate.  But wait a minute the proposal would only have affected a handful of estates in 2015.  Sound like the 1913 information?

Furthermore, this top estate tax is only the tip of the iceberg.  For starters, the minimum you need to have in an estate before it becomes taxed is about $5.5 million.  This new proposal drops that to $3.5 million.  Only the mega rich?

In addition, a current law (egregious loophole) which allows inheritors of assets bought decades ago says capital gains are not owed on those assets until they are sold would be changed.  Now the inheritors would be required to pay tax due upon death at an even higher tax rate.  Of course this only affects the mega rich and there will be exemptions for the middle class families. Like 1913 the details are thin.

Bottom line?  There are ways using private contracts not regulated by government to protect yourself from these proposed changes.  The proper application of knowledge is powerful in protecting your wealth.