Ultra-Rich Skip Estate Tax and Spark 50% Collapse in Revenue (1)

Revenue from the U.S. estate tax has been cut in half in two years, new data from the Internal Revenue Service shows, even as dynastic wealth soars.

Just 1,275 wealthy families paid $9.3 billion in estate tax to the U.S. Treasury in 2020. As recently as 2018, the IRS collected more than $20 billion from nearly 5,500 families.

The dramatic decline -- to the point where the tax is paid by 0.04% of dying Americans -- is largely the result of the tax overhaul enacted by Republicans in 2017, which doubled the amount the wealthy can pass to heirs without ...