The Death Tax is set to increase as part of the “fiscal cliff,” over which the U.S. economy will be thrown come January when tax cuts will expire, taxes will increase and irrelevant budget cuts will be made. Currently, on estates worth $5 million or more, a 35% tax is levied. Next year, that percentage is set to increase to 55% on estates worth $1 million or more. Obama’s “compromise” is a 45% tax with a $3.5 million exemption.

Farmers and ranchers will be hit the hardest even though the death tax is supposedly aimed at the “super rich.” Governments want to prevent these very wealthy individuals from amassing large fortunes which can be passed on to future generations through inheritance. The government can’t just let large estates go untaxed. That would mean that potentially, large plots of land could remain in someone’s family for generations, and the government would never get to profit from it as long as the property stayed in that person’s family. How unfair that would be. So, to make the classes more “equal,” governments tax the estates heavily upon the owner’s death and every time the estate gets passed on to the next generation.

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