By Congressman Canseco
Texas Insider Report: WASHINGTON D.C. Farmers & ranchers throughout America are not only part of our social and historic fabric they are also vital job creators and economic engines in numerous communities across America. With family-run farms and ranches being an important part of our nations economy
its extremely disappointing to see that once again big spending liberals seek to tax such family-owned operations into oblivion.
Not only do family farms and ranches support the families who own these operations but they also support the employees of these operations who come to work each day and contribute to the local state and national economy.
The Death Tax officially known as the Estate Tax is a federal tax that is imposed on the estates of Americans who have died and the total value of their estates exceed a specified value in federal law. This unfair tax negatively affects the ability of Americans to work hard and then pass along the fruits of that hard work to their children and grandchildren.
Currently the Death Tax is imposed upon estates of $5 million or more and subject to a 35 tax rate. However unless the Congress and President act on January 1 2013 the Death Tax will increase to a 55 rate for estates valued over $1 million.
Farmers and ranchers by their very nature are generally asset rich and cash poor and many find it difficult to pay the Death Tax and keep the family farm or ranch intact. In fact many farm and ranch families are forced to break up and sell off either pieces or the entire farm or ranch
just to pay the tax. Even those who are lucky enough to keep their farm or ranch sometimes face the unpleasant choice of laying off employees or cutting back salaries in order to pay what the tax requires.
With the Death Tax increase slated to take place in less than a year the burden of this tax will fall on many more farm and ranch families than it already does.
The Death Tax is an unfair tax that penalizes success and discourages Americans from pursuing the American Dream to the fullest extent possible. I strongly believe that we should repeal the Death Tax which is a double tax and threatens our ability to feed and clothe this nation. This is why I am a proud co-sponsor of the Death Tax Repeal Permanency Act (H.R. 1259) which will repeal this unfair tax and ensure that family farmers and ranchers can continue the tradition of passing along their land to future generations without interference from Uncle Sam.
American agriculture is the backbone of this great nation. The innovation and hard work of family farmers and ranchers is the reason that Americans only spend 9.5 of their income on food less than any other country in the world.
As President John F. Kennedy stated Our farmers deserve praise not condemnation; and their efficiency should be cause for gratitude not something for which they are penalized."
It is time to repeal the Death Tax and stop penalizing American farmers and ranchers with this unfair tax.
A former small business owner and lifelong Texan Congressman Canseco proudly represents the 23rd District of Texas. You may contact Congressman Canseco at: http://canseco.house.gov
