Introduction
The estate (death) and gift tax system set up by the government is not consistent with the Bible, as God created the heavens and earth, and He owns them. The Bible reads in Exodus 19:5, “Now, if you obey me fully and keep my covenant, then out of all nations you will be my treasured possession. Although the whole earth is mine” (Holy Bible, New International Version).
Thus, God has blessed us with an abundance, enabling families to leave an inheritance for future generations. “A good person leaves an inheritance for their children’s children, but a sinner’s wealth is stored up for the righteous,” as stated in Proverbs 13:22 (Holy Bible, New International Version). A virtuous person bequeaths an estate to both their offspring and descendants by managing their property and financial resources, prioritizing savings for the future, and ensuring they can pass down an inheritance to their family.
Biblical Teachings on Taxes
Along with being caretakers of God’s property, we must pay property taxes to the civil government. It is said in Romans 13:7, “give to everyone what you owe them: If you owe taxes, pay taxes; if revenue, then revenue; if respect, then respect; if honor, then honor” (Holy Bible, New International Version). However, God did not create a death tax determined by the amount of property transferred when someone in the world dies.
When God entrusted civil government with the duty to collect taxes, the government can be said to have property under God’s authority and only has the right to tax it (Does property tax defy God). However, if that task were entrusted to the family, the government’s tax would be a blatant violation of God’s authority, overturning His laws and assuming unauthorized responsibilities, thus breaching trust.
The death tax reduces the inheritance left to children and their children. Chrisman (2011) notes that God has gifted lawyers and estate planners with tools to invest and grow their wealth, blessings that provide a means to counter the government’s high taxes. Another approach to reduce estate taxes is to establish trusts. One can set up a testamentary trust to allocate property to beneficiaries designated by the testator-settlor (Hower et al. 2017). Therefore, it avoids the imposition of additional estate taxes on the beneficiary’s death.
Conclusion
In conclusion, the current estate (death) and gift tax system provided by governments appears incongruent with the principles stated in the Bible. As people reflect on Exodus 19:5, it is seen that God, the creator of the heavens and earth, blesses individuals abundantly, allowing families to pass many things to future generations with the help of Proverbs 13:22. While it is crucial to acknowledge the necessity of paying property taxes to the civil government, it becomes evident that God did not have a death tax based on the transfer of property.
The duty of tax collection is within the bounds of the norms of civil authorities, with the support of God’s regulations. Still, the responsibility given to families can undermine trust. The impact of the death tax on diminishing inheritances is massive. Solutions such as the help of lawyers and estate planners can reverse the trust to ensure proper mitigation of government-imposed taxes. Consequently, when considering the principles aligned with God’s laws and exercise, the legacy of family inheritances can be protected.
References
Holy Bible, New International Version. 2011. Biblica, Inc(website).
Does property tax defy God? n.d. Free Bible Study Lessons (website).
Chrisman, Rodney. 2011. “Death Taxes and the Christian Worldview.” Canvas.
Hower, Dennis R., Walter Janis, and Wright Emma. 2017. Will, Trust, and Estates Administration (8th Edition). Cengage.