Or into a farm or lumber operation that's worth millions on paper but provides just a modest living. Then there are the costs of dealing with the tax. This is a major reason why seven out of 10 family businesses aren't passed to the next generation and why only one in 10 makes it to the generation after that. The Color of Money . Take the Chicago Defender newspaper, an important voice for the black community for nearly a century.
More blacks can expect the same experience.
Income levels in black households have tripled over the past 24 years, and the number of black-owned businesses more than doubled from 1987 to 1997. According to a recent survey, the death tax is the most feared federal tax by black business owners. Another survey shows that nearly seven out of 10 of minority business owners say they've had to take expensive steps to protect their assets. Not surprisingly, they resent it. They'd rather take the money they're being forced to pour into additional life insurance and legal fees and use it to expand their businesses and leave their kids better off.