This might be the place to remind y'all that President Trump nixed the Inheritance Tax. This is just making things "right" for the elites again. Getting back on schedule.
Come again?
The current stepped up basis tax treatment applies not only to real property, but also to other assets subject to capital gains tax, such as company stock. If you bought Amazon at $20 and will it to your kids, THEIR basis for capital gains tax when they sell it is the price at the time of inheritance, avoiding capital gains tax on 90% or more of it's value.
Last I checked, it's the "elite" and not Joe and Suzy with the 7 year car note that own stocks..........
Paying 15% Cap gain taxes is not "a big deal" relatively, when you inherit a couple of million in stocks, but it can present a real cash flow problem with a lot of farms that are already highly leveraged, and have neither the cash nor the credit worthiness to be able to pay 15% on the gain. In many of those cases, the tax may indeed force a sale of the farm, but then, the bank really owned that farm to begin with.
