Perhaps we should see how the problems which you highlight are resolved on our close allies such as the USA, Japan Korea, UK etc who all have the higher rate of inheritance tax.
I'm sure that these countries have put a lot of thought into the fairness of their respective regimes; otherwise it would have been voted down over generations of elections....eh?(NB: They are all democracies)
It is common knowledge that small businesses and Farmers squirrel away taxable income in the form of "property improvements" which is not realised as taxable until sold. Of course the family home is exempt from Capital Gains Tax which reminds me:
a few months ago we were invited to a neighbours place for drinks etc to celebrate the 'reno" . The owner owns an upmarket cafe and, surprise, surprise, the massive newly renoed kitchen looked very much like his cafe fitout and fixures-wise with the Harley Davidson style coffee machine etc etc.
When we retired to the den/bar down stairs well my wife said that it was just like being in the Cafe even down to the drinks fridges and the special steak aging chiller. Add to that, this childless couple change houses every few years because the wife always needs something new.....it keeps you young, she said!
Their last house sold for $135 mil 18 months ago with a 4 car garage, swimming pool , sauna and decks galore (all added by them for their comfort.....but they sold it)
