The Death Tax Repeal Act (HR 1105) is slated to be considered by the full House later this week, according to Drovers CattleNetwork.
The bill would repeal the estate and generation-skipping transfer taxes and makes permanent the maximum 35 percent gift tax rate and lifetime gift tax exemption. It also provides for an inflation adjustment to such exemption amount.
According to the Tax Foundation, the United States has the fourth highest estate or inheritance tax rate in the world. Additionally, the foundation says repealing the estate tax would lead to the creation of nearly 150,000 jobs and would eventually boost federal revenue by $8 billion per year through higher receipts of individual income taxes, payroll taxes and corporate income taxes.
Farmers and ranchers from across the country were on hand at a recent congressional hearing on this subject. Seventh generation cattleman from Texas Bobby McKnight explained to members of Congress that in agriculture many farm and ranch families are “asset rich and cash poor,” with much of the wealth being non-liquid and tied up in land, buildings and equipment.