Death Tax Repeal Bill Introduced
By Brady & Ross
H.R. 1259, "The Bipartisan Death Tax Repeal Permanency Act," was introduced in the U.S. House of Representatives by Kevin Brady (R-TX) and Mike Ross (D-AR). The Forest Landowners Association, in partnership with the Forest Landowners Tax Council, has been working toward this and other such legislation for over a decade. The bill currently has eight bipartisan co-sponsors
Brady stated, "The death tax is still the number one reason family farms and businesses in America aren't passed down to the next generation. It's the wrong tax at the wrong time and it hurts the wrong people."
"We pay taxes all our lives, so it just doesn’t make sense to be taxed again when we die," said Ross.
The bill, which would become effective on the date of enactment, provides for the following:
- Repeal of the federal estate tax.
- Repeal of the federal generation-skipping transfer tax.
- Extension of the current $5 million lifetime gift tax exemption and 35% gift tax rate (a maneuver felt necessary by the authors).
- Application of an income tax to estate assets that are sold through the modified carryover basis rules.
“Repeal of the Federal Estate Tax has long been a goal of the Forest Landowners Association,” said FLA CEO Scott Jones. “We applaud the efforts of Congressmen Brady and Ross. The Death Tax is a double dip tax, taking a significant portion out of a person’s estate when he or she dies despite the fact that those assets have already been taxed.”