Politics
FACT CHECK: Estate Tax Hits Fewer Than 1 Percent of Estates

In this March 17, 2015 file photo, Sen. John Thune, R-S.D. speaks to reporters on Capitol Hill in Washington. (AP Photo/Molly Riley, File)
STEPHEN OHLEMACHER, Associated Press
WASHINGTON (AP) — The federal estate tax inspires a lot of heated political rhetoric for a tax that very few people actually pay.
The House is scheduled to vote this week on a bill to repeal the estate tax, part of a package of bills highlighting Wednesday’s deadline to file income tax returns.
The federal tax on estates has been around in various forms since 1916. Republicans have long called for repealing it; they refer to it as the “death tax.” They claim it prevents small business owners and family farmers from passing businesses on to their heirs.
Democrats say repealing the tax is a giveaway to the rich, since the only families that pay it have many millions in assets.
The bill has little chance of becoming law. Senate Democrats appear to have enough votes to block it and President Barack Obama wants to increase the estate tax, not eliminate it. The White House threatened to veto the bill Tuesday.
Nevertheless, the House is expected to easily pass the bill, providing both political parties with a campaign issue in the 2016 elections for Congress and president.
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THE CLAIMS: “The death tax is the wrong tax at the wrong time and hurts the wrong people. It’s the number one reason why family-owned businesses aren’t passed down to the next generation. It is Washington’s most immoral and calculated attack on the American Dream.” — Rep. Kevin Brady, R-Texas, sponsor of a House bill repealing the estate tax.
“For too long the federal government has forced grieving families to pay a tax on their loved one’s life savings that has been built from income already taxed when originally earned. Currently more than 70 percent of family businesses do not survive to the second generation, and 90 percent of family businesses do not survive to the third generation.” —Sen. John Thune, R-S.D., sponsor of a Senate bill repealing the estate tax.
“One of the laws that my friends on the other side of the aisle are trying to pass right now is a new, deficit-busting tax cut for a fraction of the top one-tenth of 1 percent. That’s fewer than 50 people here in Kentucky who would, on average, get a couple million dollars in tax breaks.” — Obama, speaking April 2 in Louisville.
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THE FACTS: The federal tax rate on estates is 40 percent, but big exemptions limit the share of estates that pay it to fewer than 1 percent.
This year, the exemption is $5.43 million for a single person. Married couples can exempt up to $10.9 million. Larger estates pay taxes only on the amounts above these thresholds.
A total of 5,400 estates are expected to pay the tax this year — out of about 2.6 million deaths, according to the nonpartisan Joint Committee on Taxation, which provides official estimates for Congress. That’s 0.2 percent of all deaths in the U.S.
The exemption amounts increase with inflation, so the number of estates paying the tax each year is expected to grow slowly, reaching 5,500 in 2020 and staying there through 2024, according to JCT.
Each year, the estate tax generates less than 1 percent of federal tax receipts. But over time, it adds up.
Repealing the estate tax would reduce federal tax revenues by $269 billion over the next decade, according to JCT. The House bill does not include spending cuts to offset the lost revenue, so it would be added the deficit.
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BACKDROP: Republicans say that some business owners get hit with the tax because they have valuable assets that don’t necessarily generate a lot of cash. They cite family farms, which may sit on valuable land but don’t generate enough money to pay hefty estate taxes unless heirs sell some or all the land.
“The appreciated value of land is phantom income. The value is locked in the asset, so if there’s no intent to sell the land, there’s no real income to tax other than the income the land actually produces, and that’s already taxed,” said Sen. Charles Grassley, R-Iowa.
Democrats counter that eliminating the estate tax would enable investors to amass vast sums of wealth that might never be taxed as long as they held it until they died and passed it to their heirs, who could receive it tax-free.
“The principle here is not to create a permanent aristocracy,” said Rep. Richard Neal, D-Mass.
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Follow Stephen Ohlemacher on Twitter: http://twitter.com/stephenatap
Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Activism
Oakland Post: Week of March 28 – April 1, 2025
The printed Weekly Edition of the Oakland Post: Week of March 28 – April 1, 2025

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Activism
Sen. Lola Smallwood-Cuevas Honors California Women in Construction with State Proclamation, Policy Ideas
“Women play an important role in building our communities, yet they remain vastly underrepresented in the construction industry,” Smallwood-Cuevas stated. “This resolution not only recognizes their incredible contributions but also the need to break barriers — like gender discrimination.

By Antonio Ray Harvey, California Black Media
To honor Women in Construction Week, Sen. Lola Smallwood-Cuevas (D-Los Angeles), a member of the California Legislative Black Caucus (CLBC), introduced Senate Concurrent Resolution (SCR) 30 in the State Legislature on March 6. This resolution pays tribute to women and highlights their contributions to the building industry.
The measure designates March 2, 2025, to March 8, 2025, as Women in Construction Week in California. It passed 34-0 on the Senate floor.
“Women play an important role in building our communities, yet they remain vastly underrepresented in the construction industry,” Smallwood-Cuevas stated. “This resolution not only recognizes their incredible contributions but also the need to break barriers — like gender discrimination.
Authored by Assemblymember Liz Ortega (D-San Leandro), another bill, Assembly Concurrent Resolution (ACR) 28, also recognized women in the construction industry.
The resolution advanced out of the Assembly Committee on Rules with a 10-0 vote.
The weeklong event coincides with the National Association of Women In Construction (NAWIC) celebration that started in 1998 and has grown and expanded every year since.
The same week in front of the State Capitol, Smallwood, Lt. Gov. Eleni Kounalakis, Assemblymember Josh Hoover (R-Folsom), and Assemblymember Maggie Krell (D-Sacramento), attended a brunch organized by a local chapter of NAWIC.
Two of the guest speakers were Dr. Giovanna Brasfield, CEO of Los Angeles-based Brasfield and Associates, and Jennifer Todd, President and Founder of LMS General Contractors.
Todd is the youngest Black woman to receive a California’s Contractors State License Board (A) General Engineering license. An advocate for women of different backgrounds, Todd she said she has been a woman in construction for the last 16 years despite going through some trying times.
A graduate of Arizona State University’s’ Sandra Day O’Connor College of Law, in 2009 Todd created an apprenticeship training program, A Greener Tomorrow, designed toward the advancement of unemployed and underemployed people of color.
“I always say, ‘I love an industry that doesn’t love me back,’” Todd said. “Being young, female and minority, I am often in spaces where people don’t look like me, they don’t reflect my values, they don’t reflect my experiences, and I so persevere in spite of it all.”
According to the U.S. Bureau of Labor Statistics, only 11.2% of the construction workforce across the country are female. Overall, 87.3% of the female construction workers are White, 35.1% are Latinas, 2.1% are Asians, and 6.5% are Black women, the report reveals.
The National Association of Home Builders reported that as of 2022, the states with the largest number of women working in construction were Texas (137,000), California (135,000) and Florida (119,000). The three states alone represent 30% of all women employed in the industry.
Sen. Susan Rubio (D-Baldwin Park) and the California Legislative Women’s Caucus supported Smallwood-Cuevas’ SCR 30 and requested that more energy be poured into bringing awareness to the severe gender gap in the construction field.
“The construction trade are a proven path to a solid career. and we have an ongoing shortage, and this is a time for us to do better breaking down the barriers to help the people get into this sector,” Rubio said.
Bay Area
Five Years After COVID-19 Began, a Struggling Child Care Workforce Faces New Threats
Five years ago, as COVID-19 lockdowns and school closures began, most early educators continued to work in person, risking their own health and that of their families. “Early educators were called essential, but they weren’t provided with the personal protective equipment they needed to stay safe,” said CSCCE Executive Director Lea Austin. “There were no special shopping hours or ways for them to access safety materials in those early and scary months of the pandemic, leaving them to compete with other shoppers. One state even advised them to wear trash bags if they couldn’t find PPE.”

UC Berkeley News
In the first eight months of the COVID-19 pandemic alone, 166,000 childcare jobs were lost across the nation. Significant recovery didn’t begin until the advent of American Rescue Plan Act (ARPA) Child Care Stabilization funds in April 2021.
Today, child care employment is back to slightly above pre-pandemic levels, but job growth has remained sluggish at 1.4% since ARPA funding allocations ended in October 2023, according to analysis by the Center for the Study of Child Care Employment (CSCCE) at UC Berkeley. In the last six months, childcare employment has hovered around 1.1 million.
Yet more than two million American parents report job changes due to problems accessing child care. Why does the childcare sector continue to face a workforce crisis that has predated the pandemic? Inadequate compensation drives high turnover rates and workforce shortages that predate the pandemic. Early childhood educators are skilled professionals; many have more than 15 years of experience and a college degree, but their compensation does not reflect their expertise. The national median hourly wage is $13.07, and only a small proportion of early educators receive benefits.
And now a new round of challenges is about to hit childcare. The low wages paid in early care and education result in 43% of early educator families depending on at least one public support program, such as Medicaid or food stamps, both of which are threatened by potential federal funding cuts. Job numbers will likely fall as many early childhood educators need to find jobs with healthcare benefits or better pay.
In addition, one in five child care workers are immigrants, and executive orders driving deportation and ICE raids will further devastate the entire early care and education system. These stresses are part of the historical lack of respect the workforce faces, despite all they contribute to children, families, and the economy.
Five years ago, as COVID-19 lockdowns and school closures began, most early educators continued to work in person, risking their own health and that of their families. “Early educators were called essential, but they weren’t provided with the personal protective equipment they needed to stay safe,” said CSCCE Executive Director Lea Austin. “There were no special shopping hours or ways for them to access safety materials in those early and scary months of the pandemic, leaving them to compete with other shoppers. One state even advised them to wear trash bags if they couldn’t find PPE.”
The economic impact was equally dire. Even as many providers tried to remain open to ensure their financial security, the combination of higher costs to meet safety protocols and lower revenue from fewer children enrolled led to job losses, increased debt, and program closures.
Eventually, the federal government responded with historic short-term investments through ARPA, which stabilized childcare programs. These funds provided money to increase pay or provide financial relief to early educators to improve their income and well-being. The childcare sector began to slowly recover. Larger job gains were made in 2022 and 2023, and as of November 2023, national job numbers had slightly surpassed pre-pandemic levels, though state and metro areas continued to fluctuate.
Many states have continued to support the workforce after ARPA funding expired in late 2024. In Maine, a salary supplement initiative has provided monthly stipends of $240-$540 to educators working in licensed home- or center-based care, based on education and experience, making it one of the nation’s leaders in its support of early educators. Early educators say the program has enabled them to raise wages, which has improved staff retention. Yet now, Governor Janet Mills is considering cutting the stipend program in half.
“History shows that once an emergency is perceived to have passed, public funding that supports the early care and education workforce is pulled,” says Austin. “You can’t build a stable childcare workforce and system without consistent public investment and respect for all that early educators contribute.”
The Center for the Study of Childcare Employment is the source of this story.
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