Earlier today, the House passed H.R. 4154 by Rep. Earl Pomeroy (D-ND) to permanently extend the estate tax at 2009 levels, without indexing for inflation. H.R. 4154 passed under a closed rule by a vote of 225-200, with all Republicans and 27 Democrats voting against the bill. The National Cattlemen’s Beef Association (NCBA) is extremely disappointed that Congress has ignored repeated calls for estate tax reform.
“The Pomeroy bill is a disservice to America’s family farmers and other small businesses,” said NCBA President Gary Voogt. “By keeping a flawed law in place, Congress will simply extend our problems with the current system into the future.”
It’s now up to the Senate to pass meaningful and permanent relief. If the Senate fails to act by the end of the year, the tax will revert to a staggering 55% tax on estates worth only $1 million or more. NCBA would strongly support legislation similar to the Lincoln-Kyl amendment which passed earlier this year as an amendment to the Senate budget resolution. The amendment would have raised the death tax exemption to $5 million per individual and $10 million per couple, indexed for inflation, while reducing the maximum tax rate to 35%. While the amendment did not have the force of law, it was a strong bipartisan showing of support for reform.
“A simple extension of current law is unacceptable,” said Voogt. “America’s farmers and ranchers deserve more than the status quo; they deserve true reform.”