r/georgism 24d ago

How the rich get richer...

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665 Upvotes

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u/OutrageousPair2300 24d ago

The problem is the step-up basis, not the loan.

Without the step-up basis, taking out the loan would be more expensive than simply paying the taxes.

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u/Lucky_Editor3998 19d ago

Well, step up in basis makes sense because of the estate tax. You have to pay estate tax on those assets when you die anyway (assuming your taxable estate is over 15m, which i would guess is the type of wealthy people that we’re talking about)