It's not appropriate, of course, to look at the famous Manifesto of the Communist Party of 1847 as a guide to the conversion today of the capitalist state to a communist state. The progressive and social democracy movements of the US and Europe at the end of the 19th century enacted some of the communist party's demands as pre-emptive measures to defang the radical movement, and of course out of a charitable desire to mitigate the harshest conditions of industrialization. Nonetheless, the ten steps are instructive. They provide a glimpse of how far we are today from a truly capitalist society, as Marx and Engels thought such a society looked like.
"... the first step in the revolution by the working class is to raise the proletariat to the position of ruling class, to establish democracy.
The proletariat will use its political supremacy to wrest by degrees all capital from the bourgeoisie, to centralize all instruments of production in the hands of the state, i.e., of the proletariat organized as the ruling class, and to increase the total of productive forces as rapidly as possible.
Of course, in the beginning this cannot be effected except by the means of despotic inroads on the rights of property and on the conditions of bouregois production; by means of measures, therefore, which appear economically insufficient and untenable, but which, in the course of the movement outstrip themselves, necessitate further inroads upon the old social order, and are unavoidable as a means of entirely revolutionizing the mode of production.
These measures will, of course, be different in different countries.
Nevertheless, in the most advanced countries the following will be pretty generally applicable:
1. Abolition of property in land and application of all rents of land to public purposes.
2. A heavy progressive or graduated income tax.
3. Abolition of all right of inheritance.
4. Confiscation of the property of all emigrants and rebels.
5. Centralization of credit in the hands of the state by means of a national bank with state capital and an exclusive monopoly.
6. Centralization of the means of communication and transport in the hands of the state.
7. Extension of factories and instruments of production owned by the state; the bringing into cultivation of waste lands, and the improvement of the soil generally in accordance with a common plan.
8. Equal obligation of all to work. Establishment of industrial armies, especially for agriculture.
9. Combination of agriculture with manufacturing industries; gradual abolition of the distinction between town and country by a more equable distribution of the population over the country.
10. Free education for all children in public schools. Abolition of child factory labour in its present form. Combination of education with industrial production, etc."