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hadfgdasf | 9 years ago

> Now, if i decided to give all of this to my hypothetical kids -right now-, potentially decades before I'm dead. They could grow up with it, invest it, make money, and be reasonably "rich" (not 1%, but better off than most) by the time they are in their 30s. And then they could give THAT right away to their kids, again, decades before they are dead. > Repeat the cycle. So my grand-grand-grand-etc childrens could be absurdly rich, technically thanks to me, but where do you draw the line between whats inheritance and what is not?

Actually, you don't need to draw the line. It's covered in the tax code. There's this thing called the "gift tax." People moan about the complexity of the tax code but a lot of it is there for a reason, so you can't just go AHA and pivot a little bit and subvert the entire intent.

If you give enormous wealth to another who is not a spouse or a charity, while alive, or while dead, then you (or your estate in place of your dead spouse) will, in fact, have to pay the taxes due.

The thing is the taxes are too low and the Republicans keep zeroing them out when they get in power.

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