It’s coming closer:
Once the tax expires, those inheriting estates after Dec. 31 will have to pay capital gains taxes on any asset sold. The cost will be based on the original price of the property, which could mean record-keeping headaches and bigger tax bills for some people.
“If we do not extend our estate tax law, all taxpayers, all heirs will be subject to massive, massive confusion in trying to determine the value of their underlying asset,” Baucus argued on the Senate floor.
Fortunately, unlike Health Care “Reform,” this only affects a few people:
The estates of about a quarter of 1 percent [0.0025 — ken] of Americans would be subject to the tax under the House bill, according to the the Brookings Institution-Urban Institute Tax Policy Center.
I guess someone hasn’t blown Joe Lieberman enough this week.