4 ms·
> taxes still get paid when the individual dies as estate tax Almost no one in the US pays the estate tax. It only applies to estates over $14MM and most large
by semiquaver 11mo ago
> taxes still get paid when the individual dies as estate tax
Almost no one in the US pays the estate tax. It only applies to estates over $14MM and most large estates get reorganized into trusts with estate tax avoidance as a primary motive.
- overrun11 11mo ago> It only applies to estates over $14MM Yes this entire conversation is about the ultra wealthy not paying their "fair share". A $14MM exemption is practically irrelevant here. > most large estates get reorganized into trusts with estate tax avoidance This isn't so simple. Transfers to a irrevocable trust count against your lifetime 14mm estate and gift tax exemption and a trust in excess of the 14M exemption is subject to gift tax. Also, this discussion was about "Buy Borrow Die" strategy. Irrevocable trusts don't make much sense in this context because trusts aren't subject to stepped up basis.