The repeal of the estate tax in 2010 has had the potential to allow some huge fortunes go untaxed. While several high net worth individuals have probably been beneficiaries of the repeal, a Texas billionaire is the first widely reported estate to hit the “death lotto”, if there ever was such a thing.
Dan Duncan came from modest means and built a highly profitable corporation around the storage and transportation of oil and gas. According to the Wall Street journal, Mr. Duncan was a local legend in his home city of Houston and not only became the wealthiest man in Houston but climbed to 74th on the Forbes list of the world’s richest people with an estimated $9 billion fortune.
I love this country and the fact that anyone can make something of themselves with some good business sense, hard work, and a little luck. I’m just not sure that even Mr. Duncan, who many have noted was quite a philanthropist, wouldn’t have joined the ranks of other fortunate members of Forbes’ list such as Bill Gates and Warren Buffet who are champions of the estate tax. He may have even changed his Will to give more to charity if he could have anticipated his passing during the unanticipated period of estate tax repeal.
It’s hard to argue against the facts which suggest the divide between rich and poor is ever increasing in this country and many other parts of the world. While some may disagree, I think there is a certain moral obligation that the wealthy have to society at large. It may seem only fair that the family gets to keep the fortune he managed to create during his lifetime but it occurs to me that there is nothing you can do with $9 billion that couldn’t also be done with $4 or $5 billion.
{ 0 comments… add one now }