Caveat

Yesterday's post that the estate tax exemption was going to $5 million was based upon news reporting and a Republican bill from last September consistent with that reporting.  However, this morning I'm seeing reports that there could be a phase-in to the $5 million, and a phase-in to the 35% tax rate.  These would hold down the "cost."

Also, it's unclear how many other estate tax "reforms" might be included as revenue raisers, such as restrictions on GRATs and Crummey powers.  Tinkering time is short, and it doesn't seem like Republicans need to give much.  But there might be some face-saving tokens tossed in.

One bit of good news, the ethanol credit is not renewed in the compromise proposal.