Time is ripe to repeal estate tax
According to Bandera County Farm Bureau President Barbara Mazurek, the time is ripe to begin repeal of the estate tax.
"More than half of the United States House of Representatives are cosponsoring Rep. Kevin Brady's Death Tax Repeal Act, HR 2429, which would repeal estate taxes and maintain stepped-up basis," said Mazurek.
A Republican from Texas, Brady said the estate tax burden falls heavily on local farmers because it takes more capital assets, such as land and equipment, to generate the same level of income as other businesses. Although a permanent law, enacted in 2012 provided significant estate, repeal is the best solution to protect all farms and ranches from the estate taxes, according to Mazurek.
If Congress fails to permanently repeal the estate tax, surviving family members could be forced to sell off parts of the farms and ranches, jeopardizing their livelihoods.
"Local land values are skyrocketing," Mazurek said. "As its value increases, the chances of surviving family members having to sell substantial acreage to pay estate taxes increases with it. This devastates not only families, but also rural communities and businesses that agriculture supports."