On November 29, 2010, Bloomberg published Return of Estate Tax Looms as Impediment to Extending Tax Cuts, by Ryan J. Donmoyer. Donmoyer highlights different proposals for estate tax reform:
With Obama planning to meet with bipartisan congressional leaders at the White House tomorrow, three main factions have formed in the Senate, none of which has the 60 votes needed to advance an estate-tax proposal. One includes Republicans such as South Carolina’s Jim DeMint who favor permanent repeal. Another is led by Democrats including Majority Leader Harry Reid who support a top rate of 45 percent that would apply after a $3.5 million tax-free allowance. . . .
A third faction, led by Arizona Republican Jon Kyl and Arkansas Democrat Blanche Lincoln and embraced by Republican leader Mitch McConnell of Kentucky, backs setting the top rate at 35 percent after a $5 million exemption.
Donmoyer also lays out the arguments of proponents and opponents of the estate tax.
Donmoyer’s article has received harsh criticism. In Another Ryan Donmoyer Cheap Shot (The Future of Capitalism, 11/29/2010), Ira Stoll wrote, “[T]he goal of the article doesn't seem to be accuracy; the goal seems to be mocking opponents of the estate tax. It's outrageous. . . . [T]he treatment of Mr. Harbert in the Bloomberg article is a caricature.”
(I found Donmoyer’s article to be timely and informative. You can read the article and its critique it and reach your own conclusion.)
- See Kevin Staker, Good Analysis from Bloomberg on Impact of Various Estate Tax Exemptions, Also Points Out How Estate Tax Not Being Discussed, Estate Tax News Blog by Kevin Staker, Nov. 29, 2010 (stating that Donmoyer’s analysis confirms Staker’s opinion nothing will happen).