Do you really expect us to pay taxes?

Why all the talk about saving farms? What assets are really in Oregon’s estates?

Only 10% of the value of Oregon taxable estates is in family business assets, including farms. 90% of the value is in publically traded stocks, bonds, homes and other real estate, cash, art, notes and insurance.[1]

Publically traded stocks, bonds, and retirement accounts make up 55% of estates. Homes and other real estate are the next largest components at 19%. Cash, believe it or not, is 10% of estates.

There’s actually more cash in estates than small business and farm assets. But you won’t hear Kevin Mannix building a campaign around the fact that the 2% can’t pass on their cash without paying any taxes on it.

Art, intangibles and other assets at 3%, mortgages and notes at 2% and Insurance at 1% round out the picture of what’s really taxed by the estate tax.

Family business assets, including farms, add up to only 10% of all assets in estates paying estate taxes. [2] 

The $102 billion in assets in federal taxable estate tax returns ($102,077,965,000) was made up of the following:

  • $19,657,000,000 Homes, other real estate and real estate partnerships – 19.3%
  • $10,634,000,000 Cash and cash managed accounts – 10.4%
  • $10,286,000,000 Closely held stock, limited partnerships, farms and other non-corporate business assets –  Family Business Assets – 10%
  • $  2,678,000,000 Art, Intangibles and other assets – 2.6%
  • $  2,076,000,000 Mortgages and Notes – 2%
  • $  1,003,000,000 Insurance –  1%
[1] For the data, we looked to statistics from the IRS for 2004, when the federal estate tax exemption for those paying federal estate tax was $1 million for most filers and used the statistics for All Taxable Returns.
[2] Family Business Assets include: closely-held stock, limited partnerships, farms and other non-corporate business assets.  Closely-held stock is stock that is held privately, rather than purchased through a stock exchange.  Many businesses incorporate and distribute or sell stock to family members and other investors.  In addition to small main street businesses and small farms, there are large businesses owned as closely held stock.  Oregon examples are Reser’s, Stimson Lumber, Powell’s Books & Knowledge Universe.

Tax Fairness Oregon is a nearly all-volunteer organization advocating for fair, stable and adequate taxes

 Download What Assets are Really in Oregon’s Estates? here