Wealthy Americans Have Grown Richer Yet Only One in 1,300 Pay Estate Tax | Global News Avenue

Even in the past 25 years, American families have become richer, those who pay Inheritance tax A lot of shrinking.

In 2021, only one of the inheritance tax per 1,300 heritage tax was paid, which is a new study of a progressive think tank Brukins. 0.1 % of the dead or heritage of the deceased who died that year.

Over the years, the share of heritage tax has declined sharply. For example, in 1972, 6.5 % of the deceased’s inheritance paid the inheritance tax, and by 1997, the number fell to 2.1 %.

At the same time, the net assets of American families turned over in 2021 to reach US $ 13.9 trillion, compared with US $ 47.5 trillion in 1997.

Why do few families pay inheritance tax?

Researchers said in their preliminary reports that since 1981, the changes in federal tax laws have led to a reduction in household taxes.

They wrote: “Except for the richest families, these changes have almost canceled the impact of all heritage taxes.”

recent, Tax reduction and work method (TCJA) The exemptions have more than doubled from $ 11.18 million in 2018 to $ 5.49 million in 2017. The threshold has increased to $ 13.99 million in 2025.

Some regulations in TCJA, including this exemption restriction, are Set expiration At the end of this year. If this happens, in 2026, the tax exemption limit of inheritance tax may drop to about 7 million US dollars (the level before 2018 after the inflation is adjusted).

However, the Trump administration and Republican councilor is trying Extending TCJAThis may mean that there may still be a higher tax exemption.

Increase wealth inequality, low government income

and Many Americans expect to transfer wealth In the next few decades, the number of researchers in Brukins said that the number of families paying inheritance tax may deteriorate. Wealth inequalityEssence

According to the estimate of Cerulli Associations, by 2048, it will transfer about $ 1 million from the infant tide generation and the older generation.

“The United States can expect the maximum traffic of intergenerational wealth in the next decades in modern history, and a large part of the wealth, especially in a very rich family-will maintain the family and family dynasties and family The method of the dynasty. ”

This also affects the government’s vault. The change in real estate tax has led to the loss of revenue of the federal government: In 1972, the inheritance tax generated 0.4 % GDP income. By 2021, taxation will only account for 0.08 % of GDP income.

Although, if the government needs to increase income, it may always reduce exemption restrictions

HUERGO wrote in an email to InvestedOpeDia in December: “The low -suspension of the inheritance tax exemption is a low -hanging fruit, and the impact of the voters’ basics is less.”