Boozman, Cotton, Thune Introduce Legislation to Repeal the Federal Death Tax

WASHINGTON—
U.S. Senators John Boozman (R-AR) and Tom Cotton (R-AR) joined Senate Majority Leader John Thune (R-SD) and 45 of their Senate Republican colleagues to introduce legislation that would permanently repeal the federal estate tax, commonly known as the death tax. The
Death Tax Repeal Act
would end this punitive tax that threatens family-run farms, ranches and businesses upon the owner’s death.
“Arkansas’s farm families and small businesses should have the opportunity to preserve their legacies for the next generation instead of getting hit with a penalty that jeopardizes their livelihoods,”
said Boozman
. “They need certainty and relief from this counterproductive burden. Repealing the death tax supports our agriculture producers and entrepreneurs so they can continue to grow their operations and benefit their local economy.”
“Families shouldn’t have to sell major portions of their businesses or farms after the death of a parent just to afford the estate tax. Breaking apart a family’s livelihood is neither fair nor good for the economy. This legislation would end the federal death tax, making it much easier to preserve a family’s legacy and way of life,”
said Cotton
.
“Family farms and ranches play a vital role in our economy and are the lifeblood of rural communities in South Dakota,”
said Thune
. “Losing even one of them to the death tax is one too many. It’s time to put an end to this punishing, burdensome tax once and for all so that family farms, ranches and small businesses can grow and thrive without costly estate planning or massive tax burdens that can threaten their viability.”
The
Death Tax Repeal Act
would:
Fully repeal the Estate Tax;
Repeal the Generation-Skipping Transfer Tax for when a grandparent transfers assets to a grandchild; and
Maintains step-up basis to allow the evaluation of an inherited asset to be adjusted to reflect a fair market value at the time of death
The legislation is also cosponsored by Senators Jim Banks (R-IN), John Barrasso (R-WY), Marsha Blackburn (R-TN), Katie Britt (R-AL), Ted Budd (R-NC), Shelley Moore Capito (R-WV), John Cornyn (R-TX), Kevin Cramer (R-ND), Mike Crapo (R-ID), Ted Cruz (R-TX), John Curtis (R-UT), Steve Daines (R-MT), Joni Ernst (R-IA), Deb Fischer (R-NE), Lindsay Graham (R-SC), Chuck Grassley (R-IA), Bill Hagerty (R-TN), Josh Hawley (R-MO), John Hoeven (R-ND), Cindy Hyde-Smith (R-MS), Ron Johnson (R-WI), Jim Justice (R-WV), John Kennedy (R-LA), James Lankford (R-OK), Mike Lee (R-UT), Cynthia Lummis (R-WY), Roger Marshall, M.D. (R-KS), Mitch McConnell (R-KY), Dave McCormick (R-PA), Jerry Moran (R-KS), Bernie Moreno (R-OH), Markwayne Mullin (R-OK), Pete Ricketts (R-NE), Jim Risch (R-ID), Mike Rounds (R-SD), Eric Schmitt (R-MO), Rick Scott (R-FL), Tim Scott (R-SC), Tim Sheehy (R-MT), Thom Tillis (R-NC), Tommy Tuberville (R-AL), Roger Wicker (R-MS) and Todd Young (R-IN).
Companion legislation was introduced in the U.S. House of Representatives by Rep. Randy Feenstra (R-IA-04).
The
Death Tax Repeal Act
is supported by more than
190 members
of the Family Business Coalition and more than
105 members
of the Family Business Estate Tax Coalition, which includes the National Federation of Independent Business, the National Restaurant Association, the National Association of Home Builders and the U.S. Chamber of Commerce.
Click
here
for full text of the legislation.