Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: FRIDAY, January 22, 1993 TAG: 9301220421
SECTION: EDITORIAL PAGE: A-8 EDITION: METRO
SOURCE:
DATELINE: LENGTH: Medium
ESTATE TAXES ARE ROBBING THE GRAVE
IF PRESIDENT Clinton and the Democrats roll back the inheritance-tax exemption, as some are predicting, people will have the right to feel betrayed. This would be an almost unheard-of regression in our tax code, and completely opposite from the way he said he would go.Estate taxes, whether for the well-off or the middle class, are bad taxes. They are unfair and inefficient, amounting to double taxation and involving hordes of "tax jobs" for lawyers, accountants, appraisers and planners who add nothing to our productivity.
Worst of all, estate taxes are contrary to the national interest for more savings and investment. If we need to spend and consume less, and save more, then why on Earth should we penalize those who do the right thing?
Maybe there is some public interest in breaking up the fortunes of the very rich. But beyond that, inheritance taxes are a shameless money-grab from the politically impotent. (Dead people don't vote.)
We have to do something about the deficit, but if we were more equitable in taxing and spending, we could make a good start. Entitlement spending is out of control, threatening to bankrupt us. These benefits, although some refuse to believe it, are about 50 percent welfare. We have to cut back.
Also, big spenders don't carry their share of the load; we have no consumption taxes. Those of my (older) generation know that many people "milk" the system, running through lots of money, before finally checking into nursing homes at public expense.
Changing our estate-tax laws could create havoc for many people, causing the forced sale of homes, small businesses and family farms. People who live frugally, who save and invest for their children's future, are arguably the most responsible element of our society. More and more, our government is dominated by special interests. Perhaps it is time that we, also, get organized. EARL MOODY LEXINGTON