Having the ability to tax wealth, currently in excess of 10M (an insane amount), at 40% is not too much to ask. Remember, the first 10M goes tax free. so I would love to hear why taxing the first dollar over 10M at 40% is such a bad thing for the children.
Says who as to why that's a bad thing? You?
Ok, I'll tell you my personal story of why. If you have a number of heirs, it's not like someone is getting 10 million. If it were decided to distributed equally, each has a base of only 2 million. That is not some incredible amount. If one or 2 heirs get the bulk of the estate, and others get more modest amounts/percentages. That 40% tax comes out of everyones share equally.
You are the one who obviously doesn't know what you're talking about....all the wealth over $10million is taxed with the inheritance tax. You said that yourself, but contradicted yourself in the post before.
Fortunatley, there are ways to shelter some amount over the $10 million, with A B Trusts. Each parent can shelter $2 million, not considered part of the $10 million.
Spouse A dies and leaves $2mil to Spouse B, who doesn't touch it. Spouse B dies with another 2 mill protected, effectively raising the amount to $14 mill before there are inheritance taxes.
Part of the reason people accumulate wealth is to leave as untouched as possible to their heirs. You ask if it's too much to ask that any of it be taxed?
Yes, it is too much to ask. It's their money, they paid tax when they earned it, they paid tax on the money the original earnings made, and on the earning that money makes, etc.
Then, that money that has already been taxed, gets taxed again (yes, the amount over 10 mill.)
I find it amusing that most of the people who bitch about inheritance tax will never even see near that much in their estate.