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NAM's Praise for 'Death Tax' Elimination Bill

MAY 26, 1999

NAM's Praise for 'Death Tax' Elimination Bill

DATED MAY 26, 1999
DOCUMENT ATTRIBUTES
  • Authors
    Baroody, Michael E.
  • Institutional Authors
    National Association of Manufacturers
  • Subject Area/Tax Topics
  • Index Terms
    estate tax
    legislation, tax
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 1999-18752 (2 original pages)
  • Tax Analysts Electronic Citation
    1999 TNT 102-73
NAM HAILS NEW BIPARTISAN EFFORT IN THE SENATE TO ELIMINATE FEDERAL ESTATE AND GIFT TAXES 'DEATH TAX' REPEAL IS A TOP TAX ISSUE FOR MEMBERS, ACCORDING TO NEW NAM SURVEY

 

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NEWS FROM THE NATIONAL ASSOCIATION OF MANUFACTURERS

[1] WASHINGTON, D.C., May 26, 1999 -- The National Association of Manufacturers today applauded Sen. Jon L. Kyl (R-AZ) for introducing an "innovative and workable" plan to completely and immediately eliminate the 'Death Tax.'

[2] "Under Sen. Kyl's proposal (S. 1128), death no longer would be a taxable event," said Michael E. Baroody, NAM's senior vice president for policy, communications and public affairs, commending Sen. Kyl and the bill's cosponsors, Senate Finance Committee members John Breaux (D-LA), Phil Gramm (R-TX), Bob Kerrey (D-NE), Connie Mack (R-FL), Don Nickles (R-OK) and Charles Robb (D-VA) for supporting this pro-growth tax initiative.

[3] "By eliminating the need for complex and expensive estate planning, family members who inherit a company could focus on running their business and creating new jobs. Estate-tax liability considerations frequently affect business decisions about investments and expansions. Repeal of the 'Death Tax' would dramatically reduce the time, money and energy spent on estate planning," noted Baroody.

[4] "We also strongly endorse Sen. Kyl's proposal to eliminate the step-up basis for inherited assets -- as long as it is coupled with immediate and total repeal of the 'Death Tax.' Lawmakers added the step-up basis provision to the tax code to partially offset a confiscatory estate tax regime. It is critically important to keep the current basis rules in place until the death tax is eliminated."

[5] NAM member Ronald P. Sandmeyer, Jr., president and CEO of Sandmeyer Steel Company, Philadelphia, PA, had high praise for the family-friendly bill, "This estate tax repeal proposal is so simple and fair that it's hard to believe someone didn't think of it sooner. It clearly makes the most sense, has an immediate benefit, and is the easiest to implement. If you retain the business -- there is no tax. If and when you sell the business, you pay the tax."

[6] Baroody continued, "In fact, in the NAM's 1999 Annual Small Manufacturing Operating Survey our members recently identified estate tax repeal as one of the top tax issues that would have the most positive impact on their companies' ability to grow."

DOCUMENT ATTRIBUTES
  • Authors
    Baroody, Michael E.
  • Institutional Authors
    National Association of Manufacturers
  • Subject Area/Tax Topics
  • Index Terms
    estate tax
    legislation, tax
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 1999-18752 (2 original pages)
  • Tax Analysts Electronic Citation
    1999 TNT 102-73
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