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House votes to repeal federal Estate Tax

The U.S. House has voted to repeal the federal estate tax.  American Farm Bureau president Bob Stallman says the house passage of the Death Tax Repeal Act of 2015 is one step closer to tax reform that would help farm families invest in the future and pass their farms on to the next generation.

Tennessee farmer Brandon Whitt says the death tax is misguided – and assets for most farmers are tied up in the land, equipment and other investments to run their businesses.  “From year to year we pay taxes, and simply because a family member dies and we pass that farm on to the next generation, we now have to pay another tax,” he says.  “We would literally have to sell equipment or land or something at the detriment to the business in order to pay the tax. I just don’t see that being a very fair opportunity to keep our business going into the future.”

The bill passed out of the house 240-179 with very little Democratic support.

Several of the Democrats that voted for the repeal are from farm states and districts.  Among them, House Agriculture Committee ranking member Collin Peterson of Minnesota, Brad Ashford of Nebraska, Sanford Bishop of Georgia, and Jim Costa of California.

President Obama has threatened to veto the measure.