Obama Wants to Revive 'Death Tax'

With the estate tax—a levy on inheritances dubbed the “death tax” by opponents—set to expire in 2010 as a last gasp of President Bush’s 2001 tax cuts, Barack Obama and fellow Democrats are looking to keep America’s richest paying up, the Wall Street Journal reports. Estates up to $3.5 million would be exempt under Obama’s plan; those above would be taxed at 45%.

Small businesses and farms, in addition to rich families, fought for the repeal, and are now urging Obama to raise the threshold to $10 million. Democrats say America’s wealthy have already benefited handsomely from Bush-era tax cuts—and fear allowing the estate tax to disappear as scheduled will make it harder to bring it back if necessary. (More estate tax stories.)