In a further sign that the Obama administration is moving forward to enact punitive taxation, the Senate defeated a resolution last night that would have helped put an end to the reinstatement of the Estate Tax.
This is not good, folks. The current law has had the Estate Tax wind down over the last 10 years to the point where, in 2010, there is no Estate Tax (also known as the "Death Tax"). That is all set to change in 2011. Because the current law was passed as a reconciliation measure in 2001, under congressional budget rules, it must be revisited after 10 years. What's worse is that the former law will take effect on January 1, 2011, exempting only the first $1 million of an estate and taxing the remainder at 55%.
If you thought that the expiration of the Bush tax cuts on January 1, 1011 was bad enough, the reinstatement of the Death Tax will further snuff out any possibility of an economic recovery in the near future. Can you even imagine the number of farms and private businesses that will be forced to liquidate because of this tax requirement?
With the impending implementation of Obamacare and its restrictions on the coverage of health needs for seniors, the Obama administration must be licking its chops at the windfall they will get once the Death Tax is in place.
The Obama-Reid-Pelosi cabal truly hates our capitalist economy and is stopping at nothing to wring the life out of it.
November can't come soon enough!