Commentary
2011 may be a very taxing year for same-sex couples, regardless of marital status
Onerous federal estate tax set to return
Congratulations, you assembled your friends and family and got married in Washington DC. Now it is recognized in both DC and Maryland. It’s the moment of a lifetime and a moment you’ve been waiting for.
Well, guess what? The IRS doesn’t care! That’s right, to the IRS, you are still strangers according the law. If your estate and retirement plans include leaving your partner your estate, next year may well prove to be a expensive year to die regardless of marital status!
Thanks to the Defense of Marriage Act, even though same-sex couples can now get married in Washington DC and have it recognized in the state of Maryland, the IRS still does not recognize the validity of that marriage. As a result, unlike heterosexual married couples who can pass an unlimited amount of assets between spouses at death, same-sex couples can be hit with the Federal estate tax, regardless of marriage status. Understanding how the Federal estate tax rules work and following a couple of action items could significantly reduce or entirely eliminate this tax.
The Federal estate tax is due when a person leaves assets above a certain dollar amount to someone other than a heterosexual married spouse. Straight married couples get a free pass called the unlimited martial deduction. In 2010 only, there is an unlimited exemption. But, you may owe capital gains tax on any appreciation. Each estate can exempt $1.3 million of gains from the carryover basis rule. Another $3 million exemption applies to assets inherited from a spouse.
In 2011, however, unless Congress acts, Federal estate tax rules change. As a result, same-sex couples could witness a significant tax bite if a partner dies next year. Straight married couples won’t have this problem since the IRS continues to give them a free pass with the unlimited martial deduction.
Next year, at the death of a partner, the value of any estate above $1 million will be taxed at 55%.
Think you don’t have a $1 million, well think again!
How the IRS calculates your gross estate for Federal estate tax purposes probably includes some items you likely wouldn’t count. It also means that many more gay and lesbian couples will feel this tax bite, if you don’t plan properly. The largest impact will likely be felt by older gay and lesbian couples, who are nearing retirement and have built up retirement assets over the course of their life. This becomes an issue as they rely on their partner’s asset to maintain financial independence.
How the IRS calculates the Federal Estate Tax:
To determine whether an estate is hit by the Federal estate tax, it is important to understand how the IRS calculates the Federal Estate Tax. For the purposes of the estate tax calculation, the IRS includes almost everything. Yep, add up all the assets, including personal assets, cars, collections, art, etc. The biggest ticket items usually include the following:
• savings and checking accounts, CDs;
• brokerage or investment accounts;
• retirements accounts like IRAs, Roth IRAs, 401(k)s, 403(b)s or TSP plan assets;
• personal property such as boats, paintings, collections, etc.;
• real estate titled in the decedent’s own name or the percentage portion that is titled • as tenants in common;
• the gross value of life insurance proceeds in the decedent’s own name;
• property that is titled as joint tenants with rights of survivorship (which allows the property to pass automatically to a partner at death, the way many gay and lesbian couples have their homes titled).
The last two bullets are important and frequently overlooked. Most people know that life insurance passes INCOME tax free, but if it is owned by the person who dies, the IRS includes the entire amount of the life insurance proceeds in the total amount of the ESTATE tax calculation. As a result, if you own a $500,000 life insurance policy in your name and have your partner as the beneficiary, your estate increases by $500,000
The IRS also includes the gross value, less any mortgages on property titled as Joint Tenants with Rights of Survivorship (JWROS) in the estate of the first person to die UNLESS payments or contributions can be proven.
Let’s take a look at a hypothetical example: Mark age 55 and Max age 60 are looking to retire in 5 years. They own a $550,000 home with a $50,000 mortgage titled as joint tenants with rights of survivorship. Max has been paying the mortgage, while Mark has been paying all the living expenses. Max also owns two life insurance policies: one from work which is worth $250,000 and a personal policy worth also $250,000. His 401(k) has taken a hit with the market but is still valued at $425,000 and he has a rollover IRA with $25,000. He also has a brokerage account worth $25,000 and a $25,000 CD.
While drinking a martini in Rehoboth, Max accidently chokes on an olive and dies. Unless Congress acts, here’s how the IRS will calculate the estate in 2010 versus 2011.
Note that because Max made all the contributions, the IRS adds the home to his estate, even though it is titled jointly. Mark could not show that he contributed to the mortgage payments. He was paying for the utilities, car payments, etc.
In 2011, Mark has to pay $275,000 in Federal estate taxes. Again, straight married couples pay zilch, zero, nada! Mark still walks away with a cool $1,225,000, right?
Well, not exactly. Because Mark will continue to live in the home that part of the estate is not liquid or immediately accessible. If the value of the house is removed, the actual cash amount that he receives from the estate is reduced to $725,000 or ($1,500,000 less $500,000 (the value of the home) less $275,000 (the estate taxes)).
Mark, like any heterosexual married beneficiary, is going to have to pay legal/probate fees. In addition, Mark will also have to pay Federal income taxes on the 401(k) and IRA money when he starts taking distribution. In the worse case scenario, if he pulled out all those funds in a lump sum, the tax could be taxed up to 35%.
The question then becomes will Mark, who has a life expectancy of an additional 24.37 years according to Social Security table, have enough assets to live at least that long without running out of money.
The estate tax is often considered a voluntary tax because with proper advanced planning, Max and Mark could have significantly reduced their overall estate tax burden. By re-structuring some of their assets today, they could reduce their estate size to potentially pay zero Federal estate taxes. That’s right, zero, zilch, nada!
The question then becomes, where is a good place to spend the $275,000 that would otherwise have gone to estate taxes, a problem we would all like to have!
What to do:
• Calculate the gross estate including all your assets. Be sure to calculate it the way the IRS does.
• Review your estate planning documents and beneficiary designations.
• Review the titling of all your assets to determine in to whose estate the asset falls.
• Review the ownership of your life insurance including both your personal and work. The current ownership structure of the life insurance could simply be increasing the amount you will be paying to the IRS. By retitling the ownership of the life insurance to either a trust or putting it in your partner’s name you may be able to remove it from your estate. Use caution, however, because retitling assets incorrectly could trigger a costly current gift tax if not done correctly.
• Review how your home is titled and who is making payments on the mortgage. It is common for one partner to pay the mortgage while the other pays for other expenses. This could cause an estate trap because it may be difficult to substantiate payments into a jointly owned home. Retitling your home incorrectly could trigger a costly current gift tax of 55% if not done correctly. In some jurisdictions, even if it is done correctly, it may trigger a local transfer tax.
• Consult a professional to determine what is the best way to structure your estate and minimize your estate taxes.
The information provided is for general information. It is not intended to be all-inclusive on estate taxes.
Nicholas Burkholder and Joseph Kapp ([email protected]) are registered representatives and investment advisor representatives with Lincoln Financial Advisors Corp., a broker/dealer (member SIPC) and registered investment advisor, offering insurance through Lincoln affiliates and other fine companies. This information should not be construed as legal or tax advice. You may want to consult a legal or tax advisor regarding this material as it relates to your personal circumstances. The content of this material was provided to you by Lincoln Financial Advisors for its representatives and their clients. CRN201004-2040969
Commentary
I am a proud Jewish, gay man
My heart breaks for the two Israeli diplomats killed on the streets of D.C.

Antisemitism, racism, and Islamophobia, are terrible things to have to deal with, and we must all always speak out and reject them. But the reality is, as a proud, Jewish, gay man, living in Washington, D.C. today, I am more afraid of Donald ‘felon’ Trump, his Nazi sympathizing co-president Elon Musk, his own Joseph Goebbels, Stephen Miller; and his Cabinet flunkies like Homeland Security’s Kristi Noem and State Department’s Marco Rubio, than I am of any legal college demonstration. Mind you, I say legal.
We live in a world where Trump has made all kinds of outrageous behavior acceptable. He has dined with white nationalists, said there are fine people on both sides in his first comments when the Charlottesville riots occurred. Today, Trump sits with terrorists in Qatar, accepting a plane as a bribe, and negotiates with terrorists like Hamas. This is the world Donald Trump has created. That is what I fear the most. It is a world where Donald Trump has made it acceptable for racists, homophobes, sexists, antisemites, and Islamophobes to spout their hate in the public square.
This past year I published my memoir, and wrote about being a first generation American. My parents came here to escape the Nazis — my father from Germany, and my mother from Austria. My father joined the American Army and went back to fight the Germans. His parents were gassed in Auschwitz. I understood from them and their friends, what antisemitism was. But I grew up in a Jewish community in New York City, and as I wrote in my book, never felt any of it myself until I was 13 on a trip through the Midwest and was called a ‘Kike’ and had to ask someone what that meant.
As to being gay, I knew I was, even though I didn’t understand it, when I was 12. I could, and did hide that, until I was 34. I then came out in D.C., which turned out to be an easy place to come out. But it was near the beginning of the HIV/AIDS epidemic, and that made you very careful. You were told not to have your insurance company pay for a blood test, so God forbid, people would think you were gay, or worse if you did test positive. There was rampant discrimination and fear regarding HIV/AIDS at the time. I know I lost at least two jobs because I was gay, yet luckily, neither of those impacted my career in the long run. I became a gay activist, fought for my community, and things got better. I had worked for Rep. Bella Abzug (D-N.Y.), sponsor of the first Equality Act, before I came out, and met many gay people who were very supportive and became lifelong friends.
Today, Donald Trump, literally through his actions, threatens the lives of trans persons. While we are celebrating WorldPride in D.C., which as a city is a very welcoming place for the LGBTQ community, countries around the globe have told their citizens to be on alert if they come here. The United States is on their watch list for unsafe travel because of Trump’s actions.
When Donald Trump was elected the first time, his racism, homophobia, sexism, and Islamophobia immediately came to the fore. It had a negative impact on the culture in our country. It actually changed the culture, and that, and he, have only gotten worse over time. Today, Trump and his MAGA minions, are truly frightening. Again, trans people are afraid and antisemitism and Islamophobia are rampant in our nation.
Trump tries to blame it on some foreign students, but reality is, it is his doing. He and his MAGA cult. They are the ones I fear, not a graduate student at Columbia who supports Palestinians. It is the Netanyahu government in Israel that is making things worse. Yes, Hamas must be defeated as they promote genocide against the Jewish people in Israel. But the Israeli government starving millions of Palestinian people in Gaza, who are not Hamas, is not helping anyone. It simply creates more antisemitism. Trump going back and forth on his support of Netanyahu, and then saying he wants to displace every Palestinian from their home in Gaza to build a resort, creates more antisemitism. Trump is the guilty one, not the Columbia student who speaks out for his Palestinian family.
Where this will end, I do not know. But my heart breaks for the two innocent Israeli diplomats recently killed on the streets of D.C. by a terrorist who basically was given permission to act out by what Trump is doing in the world. What he did was vile, and he should end up in jail for the rest of his life. Everyone needs to speak out every day, and say antisemitism is unacceptable, and must be stopped. I never want to see Germany in 1939 replicated here. But that is what Trump and his MAGA cult are doing. They threaten everyone who they disagree with, and seek vengeance for suspected slights. They are literally trying to destroy our democracy. By what they are doing they give the terrorist who ended the lives of that beautiful young Jewish couple in D.C., implicit permission to act. Because if a president can act like a criminal, why can’t he?
Commentary
‘A New Alliance for a New Millenium, 2003-2020’
Revisiting the history of gay Pride in Washington

In conjunction with WorldPride 2025, the Rainbow History Project is creating an exhibit on the evolution of Pride: “Pickets, Protests, and Parades: The History of Gay Pride in Washington.” It will be on Freedom Plaza from May 17-July 7. This is the ninth in a series of 10 articles that share the research themes and invite public participation. In “A New Alliance for a New Millenium” we discuss how Whitman-Walker’s stewardship of Pride led to the creation of the Capital Pride Alliance and how the 1960s demands of the Mattachine Society of Washington were seen as major victories under the Obama administration.
This section of the exhibit explores how the Whitman-Walker Clinic, a cornerstone of the community since the 1970s, stepped up to rescue Pride from a serious financial crisis. The Clinic not only stabilized Pride but also helped it expand, guiding the festival through its 30th anniversary and cementing its role as a unifying force for the city’s LGBTQ population. As Whitman-Walker shifted its focus to primary healthcare, rebranding as Whitman-Walker Health, a new era began with the formation of the Capital Pride Alliance (CPA). Born from the volunteers and community partners who had kept Pride going, CPA took the reins and transformed Capital Pride into one of the largest free LGBTQ festivals in the country. Under CPA’s stewardship, the festival grew to attract hundreds of thousands, with multi-day celebrations, headline performers, and a vibrant parade.
This period saw Pride become a true cross-section of the community, as former Capital Pride Alliance executive director Dyana Mason recalled: “It was wonderfully diverse and had a true cross section of our community… Everybody was there and just being themselves.” The festival’s expansion created space for more people to find a sense of belonging and affirmation. This growth was made possible through the support of sponsors, volunteers, and a city eager to celebrate-but it also sparked ongoing debates about the role of corporate funding and the meaning of Pride in a changing world.
National politics are woven throughout this era. In a powerful moment of recognition, Frank Kameny — the architect of D.C.’s first White House picket for gay rights and a founder of the Mattachine Society — was invited to the White House in 2009. There, President Obama and the U.S. government formally apologized for Kameny’s firing from federal service in 1957, a symbolic act that echoed the earliest demands of DC’s own Mattachine Society, the city’s first gay civil rights organization founded in 1961. The 2009 National Equality March revived the spirit of earlier mass mobilizations, linking LGBTQ rights to broader movements for social justice. The 2010s brought landmark victories: “Don’t Ask, Don’t Tell” was repealed, marriage equality became law. These wins suggested decades of protest had borne fruit, yet new generations continued to debate the meaning of true liberation and inclusion.
Our exhibit examines how the political edge of Pride has softened as the event has grown. As the festival expanded in scale and visibility, the focus on protest and activism has sometimes faded into the background, even as new challenges and divisions have emerged. Some voices have called for a return to Pride’s more radical roots. The 2017 Equality March for Unity and Pride drew 80,000 people to D.C., centering intersectional struggles — police violence, immigrant rights, trans inclusion — and exposing the widening rift between mainstream LGBTQ progress and the lived realities of the most vulnerable. The question remains: Are LGBTQ officers marching in uniform a sign of progress or a painful reminder of Pride’s roots in resistance to state violence? During Capital Pride 2017, activists blocked the parade, targeting floats sponsored by corporations linked to weapons manufacturing, pipeline financing, and other forms of oppression.
As we prepare for WorldPride and the anniversaries of D.C.’s first Gay Pride Day Block Party and the White House picket, the Rainbow History Project invites you to experience this living history at Freedom Plaza. Through archival images and the voices of organizers and participants, you’ll discover how Pride in DC has been shaped by resilience, reinvention, and the ongoing struggle to ensure every voice is heard.
Zoey O’Donnell is a member of the Rainbow History Project. Vincent Slatt is RHP’s senior curator.
Commentary
A conversation about queers and class
As a barback, I see our community’s elitism up close

In the bar, on the way to its now-Instafamous bathrooms, there’s a sign that reads, “queer & trans liberation means economic justice for all.”
I remember seeing that sign the first week the bar opened, and ever since I often find myself reflecting on that message. I stand fully in agreement. That’s why laws protecting queers in the workplace are essential, for far too often we are targeted otherwise. It’s also why I love working at the bar, since it provides opportunities for queers from all over the spectrum to earn a living. At a time when I gave myself space to pursue art, it was the bar that enabled me to do so.
It’s one thing to support the LGBTQ community in spirit, but that spirit means jack in a capitalist society if viable economic opportunities don’t exist. Speaking of jack, there’s a fellow barback named Jack who I fangirl over often. Jack is a decade younger than me, but damn I wish I had his sex appeal at his age (or any age, for that matter). He also has a mustache that easily puts mine to shame.
Jack not only agrees but took things one step further. “Economic inequality IS a queer issue,” he told me, “especially as we move into the most uncertain period of American politics I have ever lived through, it is apparent our identity is now a fireable offense.”
Uncertain is right. We’re fresh off the heels of a trade bonanza, one caused for literally no reason by our current commander in chief. Yet there emerged a strange division when discussing the trade war’s “unintended” consequences. For working class comrades like Jack and myself, we’re stressed about increasing prices in an already tough economy. But the wealthier echelons of our country had something else on their mind: the spiraling stock market. This alone highlights the story of our economic divide, where the same event produces two separate concerns for two distinct classes.
This is not to say the stock market is not important, but sometimes the media forget many Americans don’t own stock at all, including a vast majority of people between 18 and 29. In fact, according to Axios, the wealthiest 10 percent of Americans own 93 percent of the entire stock market, with the richest 1 percent holding $25 trillion — that’s right, trillion with a “t” — in market value. So, when the president reversed course on trade, it was less about high prices hurting everyday Americans and more about the dent created in the wealth of the wealthiest. And I’ll admit: that bothers me a lot.
If there is any takeaway from Trump’s trade war, it should be this: Economic inequality is the highest it has been in decades and, if left unchecked, will destroy the fabric of our country. We are steadily moving toward oligarchy status—if we’re not there already, that is—and it seems to grow worse with each passing year and administration. But in a city of D.C. gays who often skew corporate, I wonder: Are we all on the same page here?
After becoming a barback, I have my doubts. From questions about what else I do, to comments encouraging me to work hard so that I can be a bartender one day, I quickly learned the gay world is not too fond of barbacking. Barebacking, sure, but not barbacking. And hey, I get it—we’re not the alcohol hookup at the bar. Still, we are part of the service industry, and while some people are incredibly kind, you’d be surprised at how many turn up their noses at us, too.
Recently, I’ve come to realize my class defines me as much as my orientation does, if not more. Naturally, when you come from a rough neck of the woods like I do, it’s easy to feel out of place in a flashy city like D.C., which Jack noticed, too. “Anyone from a working class background could testify to that,” he said. “I don’t really know anyone from true upper class backgrounds, but I’d imagine their experience is one that leans into assimilation.”
Assimilation is a key word here, for admittedly gays love to play with the elite. Often, we don’t have children, meaning more money for the finer things in life, but that also means we may not think about future generations much, either. I’ve written before that our insecurity growing up has us ready to show the world just how powerful gays can be—power that comes in trips to Coachella and Puerto Vallarta, or basking in the lavish houses and toys we own. There’s already a joke that gays run the government, and corporate gays kick ass at their jobs as well. So, given the choice between fighting inequality and keeping a high-paying job, I must admit I have a hard time seeing where D.C. gays stand.
Admittedly, it worked out in our favor before, given that many corporations catered to our economic prowess over the years. But look at what’s happening now: Many corporations have kicked us to the curb. Protections are being stripped from queers, particularly for our trans brothers and sisters. Law firms are bowing down to Trump, offering hundreds of millions in legal fees just for their bottom line. All of this will hurt both queers and the working class in the long run, so again I ask: Corporate gays, where do you stand? Because if you remain complicit, that’s bad news for us all.
I don’t want to sound accusatory, and I hate being a doomsday type, so allow me to end this on a better note. Strength is not about celebrating when times are good. Arguably, true strength emerges when times get tough. These are tough times, my friends, but that also makes now the perfect opportunity to show the world just how strong we are.
At a time when the world is pressuring us to turn our backs on each other, we must defy them to show up when it counts. Corporate gays—now more than ever, at a time when the economy is turning its back on queers, we need you. We need you to stand up for the queer community. We need you to make sure no one gets left behind. We need you to show up for us, so that we can show up for you, too.
Ten years ago, the economy didn’t turn queer out of nowhere. The economy turned queer because we made it turn queer.
And if we did it once, surely we can do it again.
Jake Stewart is a D.C.-based writer and barback.
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