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More on the death of the estate tax

September 21, 2009

I predicted back in August that Death and taxes will continue.

That topic, the impending (and improbable) repeal of the estate tax, was addressed this weekend in a Wall Street Journal article.

It offers some good info on the political battles being fought behind the scenes before this matter gets a full public debate.

Estate-Tax09_5

The article also has some nifty (and pretty!) graphics, created using Tax Policy Center data. I've checked out the group's estate tax info myself and found the equally attractive and informative image you see there to your left.

As the pie chart indicates, and the TPC tells us in its estate and gift tax topic, "The estate tax is the most progressive federal tax. In 2009, more than 90 percent of estate tax revenue will come from the top 5 percent of the income distribution. Taxpayers in the bottom four quintiles face an average effective tax rate of less than 0.05 percent."

I'm working on a story right now on the future of the estate tax. When it's published on Bankrate.com next month, I'll share that link, and my additional insights, then.

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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