HOUSE TO VOTE ON ESTATE TAX
LEGISLATION THIS WEEK |
Urge Representatives to
OPPOSE H.R. 4154
Urge SUPPORT for H.R. 3905
The House of Representatives is scheduled to
consider H.R. 4154 on December 3rd.
This bill would make permanent the current Estate Tax top rate of 45%
with the maximum exemption level of $3.5 million. We urge you to OPPOSE H.R. 4154.
SUPPORT H.R. 3905, The Estate Tax Relief
Act of 2009:
H.R. 3905 establishes a phase-in of a $5 million estate tax exemption over 10
years and a reduction of the maximum rate to 35% over 10 years.
Specifically, the phase-in starts at $3.5 million in 2009 and increases by
$150,000 each year until 2019 when the exemption becomes $5 million. The
rate reduction of the tax works the same way: decreasing from 45% to 35% by 1%
increments from 2009 to 2019. The bill would be indexed for inflation after
2019.
The National Grocers Association (NGA) continues to support permanent repeal of
the Estate Tax for family-owned businesses. H.R. 3905 would provide the best
possible relief for family-owned grocers during the current environment and
therefore urges Congress to support the rates and exemption levels as outlined
in the bill.
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| OPPOSE H.R. 4154: |
- H.R. 4154 DOES NOT provide adequate relief to
family-owned businesses.
- H.R. 4154 is especially burdensome to
family-owned retailers, wholesalers and manufacturers. Well over half
of the assets of a typical supermarket the, highest of any other
industry sector, are not liquid, so the death of an owner creates a
serious obstacle to continuation of the business.
- Estate Taxes severely disadvantage family-owned
businesses as they compete with corporations that never face the prospect
of liquidating an ongoing enterprise in order to pay Estate Taxes at a
rate as high as 45%.
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SUPPORT H.R. 3905:
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- H.R. 3905 would increase the exemption to $5
million and reduce the maximum tax rate to 35% over the next 10
years. In addition, the exemption would be indexed for inflation
-
H.R. 3905 will help to level the playing field for family-owned
businesses and keep good jobs in local communities by preserving companies that
often are sold for tax reasons when a principal owner dies.
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