To: The Dallas Morning News
Date:  June 13, 2001
Subject: President Bush against the estate tax
Result: not printed due to limited space

Dear Editor,

In a recent article, speaking of the estate tax, President Bush was quoted as saying that "when you tax a person's assets twice, it's unfair." This is an idea that any wealthy Republican - such as President Bush himself - could love.

Of course, what the President is referring to is the fact that the money that is taxed before a person's estate is distributed to his or her heirs was already taxed once, when that person originally made the money. That is, except the money that had no taxes paid on it because the rich person's well-paid attorneys and CPA's found loopholes that allowed him to have untaxed income.

I see things differently from President Bush. Number one, though the person who originally made the money had his income taxed, if there is no estate tax, then the income that his heirs derive from his estate - which could be very large - is totally untaxed as income to them.

The fact is, under President Bush's reasoning, you could say that the original rich person should not have to pay income taxes either, because the money he is making - the money that people pay to him for whatever goods or services he provides them with - was originally taxed when they made it.

The whole rationale behind income tax is that each person's income that comes personally to them should be taxed. And an inheritance is personal income, it doesn't matter where the money originated. Therefore, on that account, it ought to be taxed, and it would be unfair not to tax it. As it is, there is already a substantial limit under which a person's estate is not taxed, and that limit was set to rise independent of the bill to remove the estate tax altogether.

But besides that, where President Bush and I primarily differ is in my belief that those people who made all that money in the first place, and who have it to give to their heirs, are very lucky to have even been able to acquire and accumulate such assets. I don't care how good and creative and foresightful and energetic a person might be - qualities which probably most people who I would consider rich do not share - the main thing they have going for them is great good luck. So there should be no crying about "double taxation", but there should only be great gratitude for the opportunities that the rich person and his heirs enjoyed to be able to get so much money that they have to worry about paying taxes on it.

Thank you, John Vehon