A key difference between the House and Senate tax bills that will have to be resolved this week is how they handle the estate tax, which is levied on a small number of multi-millionaires. The House repeals the tax after a few years, while the Senate raises the exemption.
Data: Center on Budget and Policy Priorities; Note: Estimates unavailable for Alaska, Delaware, Idaho, New Mexico, North Dakota, Utah and West Virginia; Chart: Axios Visuals
Sound smart: Many Republicans want to fully repeal the tax, but pushing for even more tax relief for the wealthiest people in America is a politically volatile position to take. Even if supporters try to push hard for full repeal behind the scenes, expect Democrats to be outraged.
The policy: Currently, estates worth more than $5.49 million (or $10.98 million when passed down from a deceased couple) are subject to a 40% tax. The House doubles the size of the estate tax exemption, then repeals the tax after 2024. The Senate doubles the exemption until the tax sunsets beginning in 2026.
