So, you can just distribute your wealth to your offspring shortly before your death. Inheritance system is just convenient extension set up just in case you won’t be able to distribute it before your death. It all comes from right to own private property.
So, you can just distribute your wealth to your offspring shortly before your death.
And they would pay income tax on it, just as they do if you were to give your wealth to them before you die today. That is fine. Having property rights when you are alive is fine. Having rights to a dead person’s property with tax avoidance is not.
Not in my jurisdiction. All direct wealth transfers between parents and children are tax free here. You can literally give your house to your kid, and they are new owner for free.
Same with inheritance. Closest members of family pay no inheritance tax at all.
In the U.S., the gifter has to pay federal gift tax. If you transfer a million dollar property, it will be taxed at 40%. Federal inheritance tax has an exemption up to $14 million.
It’s fucked up that you can inherit say, apartment after your parents and you can’t just give that apartment to your children so they can start their families. If they want their own they have no choice but to get long term mortgage.
So, you can just distribute your wealth to your offspring shortly before your death. Inheritance system is just convenient extension set up just in case you won’t be able to distribute it before your death. It all comes from right to own private property.
And they would pay income tax on it, just as they do if you were to give your wealth to them before you die today. That is fine. Having property rights when you are alive is fine. Having rights to a dead person’s property with tax avoidance is not.
Not in my jurisdiction. All direct wealth transfers between parents and children are tax free here. You can literally give your house to your kid, and they are new owner for free.
Same with inheritance. Closest members of family pay no inheritance tax at all.
In the U.S., the gifter has to pay federal gift tax. If you transfer a million dollar property, it will be taxed at 40%. Federal inheritance tax has an exemption up to $14 million.
It’s fucked up that you can inherit say, apartment after your parents and you can’t just give that apartment to your children so they can start their families. If they want their own they have no choice but to get long term mortgage.