Time To Go To Work On Estate Tax Reform
By: Doug Busselman, Executive Vice President
Things are gearing up for another push to attempt to move estate tax reform forward before the 2011 snap-back when the current (2010) estate tax of nothing becomes a top rate of 55 percent with only $1 Million of an exemption. Family farmers and ranchers are strongly interested in seeing something done about the 2011 return of the Death Tax and are uniting to convince the U.S. Senate to take action.
The proposal the agricultural community is backing calls for a $5 million, per person exemption, with a 35 percent top rate of taxation. It also encourages the inclusion of an index factor to deal with inflation on a going forward basis. The group of agricultural organizations have sent a joint letter to the leadership of the U.S. Senate, including Nevada’s U.S. Senator Harry Reid, urging consideration of the proposed action to bring about relief from the 2011 Death Tax return.
It has been estimated that if nothing is done, the impact could be on as many as 10 percent of the farmers and ranches in 2011 – as compared to about 1.5 percent of ag operations in 2009 (the last year of the Death Tax being in effect). Keeping farms and ranches in the family is at serious risk if something isn’t done to address this situation. Likewise, a lot of money is spent in setting up arrangements which attempt to reduce the impacts of Death Taxes on these small business operations – funds that could better be spent in improving the overall condition of the operation.
Although it hasn’t seemed to have much of an impact on elected officials who don’t seem to give much concern to constituent needs like this – there’s just a blatant unfairness to paying taxes all during your productive life and then having Uncle Sam collect again at the time of your death on assets you’ve earned the right to pass along to your family.
We encourage you to get in touch with your two U.S. Senators to ask them to give this reform request their highest attention.
Things are gearing up for another push to attempt to move estate tax reform forward before the 2011 snap-back when the current (2010) estate tax of nothing becomes a top rate of 55 percent with only $1 Million of an exemption. Family farmers and ranchers are strongly interested in seeing something done about the 2011 return of the Death Tax and are uniting to convince the U.S. Senate to take action.
The proposal the agricultural community is backing calls for a $5 million, per person exemption, with a 35 percent top rate of taxation. It also encourages the inclusion of an index factor to deal with inflation on a going forward basis. The group of agricultural organizations have sent a joint letter to the leadership of the U.S. Senate, including Nevada’s U.S. Senator Harry Reid, urging consideration of the proposed action to bring about relief from the 2011 Death Tax return.
It has been estimated that if nothing is done, the impact could be on as many as 10 percent of the farmers and ranches in 2011 – as compared to about 1.5 percent of ag operations in 2009 (the last year of the Death Tax being in effect). Keeping farms and ranches in the family is at serious risk if something isn’t done to address this situation. Likewise, a lot of money is spent in setting up arrangements which attempt to reduce the impacts of Death Taxes on these small business operations – funds that could better be spent in improving the overall condition of the operation.
Although it hasn’t seemed to have much of an impact on elected officials who don’t seem to give much concern to constituent needs like this – there’s just a blatant unfairness to paying taxes all during your productive life and then having Uncle Sam collect again at the time of your death on assets you’ve earned the right to pass along to your family.
We encourage you to get in touch with your two U.S. Senators to ask them to give this reform request their highest attention.
Posted by Doug Busselman at 4/13/2010 1:46 PM 
Categories: Agriculture
Tags: Nevada Death Taxes U.S. Senate Family Farmers and Ranchers Estate Taxes
Categories: Agriculture
Tags: Nevada Death Taxes U.S. Senate Family Farmers and Ranchers Estate Taxes
Unless and until we throw every member of congress out on their ears and replace them with new faces, not recycled politicians; this tax is going to come back and remain.
Anyone thinking that congresscritters are going to respond to our letters didn't learn a thing after the health care debacle.
Just ask Harry...
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