• An Update on Mrs. Clinton’s Estate Tax Proposals
  • October 3, 2016 | Authors: Charles Reid Barrineau; Edward H. Brown; Joshua A. Ehrenfeld; James M. McCarten; Allen Sullivan
  • Law Firms: Burr & Forman LLP - Atlanta Office ; Burr & Forman LLP - Nashville Office ; Burr & Forman LLP - Birmingham Office
  • Since we published our Burr Alert summarizing each presidential candidate's estate tax proposals earlier this month (FAMILY-CONTROLLED BUSINESSES -- TAX TARGETS AGAIN: Newly Proposed 2704 Regulations and Presidential Candidates' Positions ("Tax Targets Again")), Mrs. Clinton has expanded and updated her tax platform adding a number of provisions that could prove even more devastating to family businesses than her original proposals. For example, Mrs. Clinton's newest tax platform suggests that the top estate tax rate should be increased to 65%, or nearly two-thirds (2/3) of an estate's value. As outlined in Tax Targets Again, Mrs. Clinton's original platform called for trimming back the estate tax exemption amount by nearly $2 million per person ($4 million per couple), which would take the estate tax exemption from the current amount of $5.45 million per individual to 2009 levels which were $3.5 million per person. Further, her original platform only advocated increasing the estate tax rate by 5%, from a flat 40% to a flat 45%.