> As for why we have an estate tax, the general idea is that oligarcies and plutocracies are bad
No, the reason we have an estate tax with broad exemptions rather than taxing generational transfers as income is the general idea in the ruling class that oligarchies and plutocracy are good.
The original estate tax rate was over 45%, and the exemption was under $1mil. I think you can make the case that the oligarchs and plutocrats have pushed hard to change that law over the past 15 years. They're succeeding, unfortunately.
No, the reason we have an estate tax with broad exemptions rather than taxing generational transfers as income is the general idea in the ruling class that oligarchies and plutocracy are good.