Let me have a go at explaining this using your framing so that you might understand why other people think estate taxes are just fine.
Lee isn't being double dipped. That's because Lee isn't paying the estate tax.
His family are paying tax and it's at the time they "earned" it. Which is when they inherited it.
There is no double dip.
Perhaps. But it's hard to say. Let me construct a scenario, and tell me how you (or anyone!) would notice:
Some ciphers work on blocks of fixed size, and add padding to reach this length if message is shorter. (example: message must be n*16 bytes, if not, pad message with random bytes at the end, until it is.)
Let's say I've backdored a program implementing such a cipher. The backdoor is this: Instead of padding with random bytes, I do this:
1) Take as much of the secret key as will fit in the padding-space. (if 9 bytes of padding is needed, I take the first 9 bytes of the secret key)
2) I encrypt this (using a algorithm that can encrypt any-length messages) using a second hidden backdoor-key.
3) I swap the last n bytes of the ciphertext with this encrypted partial-key.
Result: Message-size is unchanged. Encryption and Decryption works as specified. n-last characters (the padding) looks like random noise, and is supposed to BE random. How do you notice ? How do you detect that the last n characters is really part of the key, encrypted, and NOT random noise ?
(To make this more fun: I left one big flaw in the scheme there IS a easy way to detect that this shit is going on -- but there's also a way to patch that flaw, I'll explain that in the next message if you find the flaw)
That still only works if you trust the hardware and software of that computer. The problem is that if the software you used to encrypt stuff was backdoored, it could leak the key (or fractions thereof) in the ciphertext.
It could do this only sometimes, so no amount of analyzing the ciphertext could convince you that it's honest. Perhaps it only leaks the key if run on a friday the 13th. You simply don't know.
The leaked key, could itself be encrypted so that only the entity planting the backdoor is able to "open" it.
AES256 is entirely public. Furthermore, that's an *algorithm* not a piece of software -- the algorithm has been *implemented* hundreds of times, by hundreds of independent organizations, some implementations are open source, some are closed.
Furthermore, AES256 says precicely *nothing* about how to create a key, what it DOES say is how, given plaintext and key, you create ciphertext, and how, given ciphertext and key, you create plaintext.
Your claim that government could "have their own key" is thus nonsensical -- you can, if you like, create your aes256-keys by tossing a coin.
Precicely, and statistically plain dumb LUCK is the biggest of those factors. 95% of all Norwegians are wealthier than 95% of all people born in Ghana, yet where you're born is just luck.
The odds of staying in the top quintile if that's where your parents are, is something like 85% (in USA), the odds of climbing to the top quintile if your parents are in the bottom one, are about 11%. In other words, 8 times as good odds if your parents are already wealthy.
That's not to say impossible: 11% still does mean some people make it. But it says it's damn hard, and probably -also- requires luck (in addition to the hard work).
I'm fairly wealthy, me and my wife pull about $200k/year, and sure we've worked for it, but at the same time a LOT of it is just luck: Born in Norway and Germany. Educated parents. Good health. Quick learners. All of these things helped us enormously, yet we have them just because we lucked out in the lottery of life.
If we worked equally hard, but where born in a slum in Nairobi, odds are we'd be living on 2-3 magnitudes less. So while hard work matters, it's pretty arrogant to go around talking as if hard work is the ONLY thing that matters.
"A mind is a terrible thing to have leaking out your ears." -- The League of Sadistic Telepaths