Washington, D.C. — Senator Tom Cotton (R-Arkansas) and Senator John Boozman (R-Arkansas) joined U.S. Senate Majority Leader John Thune (R-South Dakota) and 45 of their Senate Republican colleagues today to reintroduce legislation that would permanently repeal the federal estate tax, commonly known as the death tax. The Death Tax Repeal Act would end this purely punitive tax that can hit family-run farms, ranches, and businesses as the result of the owner’s death.

The legislation is cosponsored by U.S. Sens. Jim Banks (R-Ind.), John Barrasso (R-Wyo.), Marsha Blackburn (R-Tenn.), Katie Britt (R-Ala.), Ted Budd (R-N.C.), Shelley Moore Capito (R-W.Va.), John Cornyn (R-Texas), Kevin Cramer (R-N.D.), Mike Crapo (R-Idaho), Ted Cruz (R-Texas), John Curtis (R-Utah), Steve Daines (R-Mont.), Joni Ernst (R-Iowa), Deb Fischer (R-Neb.), Lindsay Graham (R-S.C.), Chuck Grassley (R-Iowa), Bill Hagerty (R-Tenn.), Josh Hawley (R-Mo.), John Hoeven (R-N.D.), Cindy Hyde-Smith (R-Miss.), Ron Johnson (R-Wis.), Jim Justice (R-W.Va.), John Kennedy (R-La.), James Lankford (R-Okla.), Mike Lee (R-Utah), Cynthia Lummis (R-Wyo.), Roger Marshall (R-Kan.), Mitch McConnell (R-Ky.), Dave McCormick (R-Pa.), Jerry Moran (R-Kan.), Bernie Moreno (R-Ohio), Markwayne Mullin (R-Okla.), Pete Ricketts (R-Neb.), Jim Risch (R-Idaho), Mike Rounds (R-S.D.), Eric Schmitt (R-Mo.), Rick Scott (R-Fla.), Tim Scott (R-S.C.), Tim Sheehy (R-Mont.), Thom Tillis (R-N.C.), Tommy Tuberville (R-Ala.), Roger Wicker (R-Miss.), and Todd Young (R-Ind.). Companion legislation was introduced in the U.S. House of Representatives by Rep. Randy Feenstra (R-Iowa).

“Families shouldn’t have to sell major portions of their businesses or farms after the death of a parent just to afford the estate tax. Breaking apart a family’s livelihood is neither fair nor good for the economy. This legislation would end the federal death tax, making it much easier to preserve a family’s legacy and way of life,” said Senator Cotton.

“Arkansas’s farm families and small businesses should have the opportunity to preserve their legacies for the next generation instead of getting hit with a penalty that jeopardizes their livelihoods,” said Senator Boozman. “They need certainty and relief from this counterproductive burden. Repealing the death tax supports our agriculture producers and entrepreneurs so they can continue to grow their operations and benefit their local economy.”

“Family farms and ranches play a vital role in our economy and are the lifeblood of rural communities in South Dakota,” said Senator Thune. “Losing even one of them to the death tax is one too many. It’s time to put an end to this punishing, burdensome tax once and for all so that family farms, ranches and small businesses can grow and thrive without costly estate planning or massive tax burdens that can threaten their viability.”

Text of the bill can be found here.

Background on the Death Tax Repeal Act:

Fully repeals the Estate Tax.
Repeals the Generation-Skipping Transfer Tax (GSTT) for when a grandparent transfers assets to a grandchild.
Maintains step-up basis.

WASHINGTON - Congressman Bruce Westerman (AR-04) joined Congressman Randy Feenstra (IA-04) and 162 Members of the U.S. House of Representatives in introducing the Death Tax Repeal Act. This legislation would permanently repeal the death tax, which imposes an unfair and costly tax on the transfer of property, land, and other assets from a deceased family member to heirs of family farms and small businesses.

Over 99% of our country’s two million farms and ranches and over 95% of our nation’s small businesses are owned and operated by individuals and families, and this legislation would enable these multigenerational businesses to continue to support their families without having to pay a devastating tax upon the death of a family member.

The Death Tax Repeal Act enjoys support from 194 organizations.

“In the aftermath of losing a family member, Arkansans should be able to grieve and continue the legacy of their loved one, without being faced with an onerous tax bill from the federal government just to keep their family business going,” said Rep. Bruce Westerman. “Unfortunately, this is the reality for many who inherit family farms or small businesses after the tragic loss of a family member. I’m proud to cosponsor the Death Tax Repeal Act, with overwhelming support from my colleagues on both sides of the aisle, to fully repeal the death tax. Family farms and small businesses are critical to Arkansas, and this legislation will ensure that families can afford to keep their business, and the legacy of their family, alive for years to come.”

“The death tax represents double taxation at its worst. Iowa families grieving the loss of a loved one should not face an enormous tax bill from the federal government just to continue the family tradition of farming or keep their small business open and operational,” said Rep. Randy Feenstra. “I’m proud to lead 162 of my colleagues to permanently repeal the death tax, ensure that hardworking families, farmers, and small businesses keep more of their hard-earned money, and strengthen family-owned-and-operated enterprises in Iowa. By fully eliminating the death tax, we can keep China away from our farmland, allow family farms and small businesses to succeed, and encourage the next generation of Iowa farmers and business owners to plant their roots in rural Iowa, support our main streets, and contribute to our economy.”

“Families who spend a generation building up a successful farm, ranch, or small business should be rewarded – not punished – by our tax code. Unfortunately, when a loved one passes away, many such families are forced to choose between attending to their grief or the threat of losing their business because of the excessive costs imposed by Washington’s misguided death tax,” said Rep. Jason Smith, Chairman of the House Ways and Means Committee. “Repealing the death tax is a necessary step to ensuring that family-owned farms and small businesses across America can continue to thrive and carry on their family’s legacy of hard work. I am proud to support this important piece of legislation introduced by my colleague, Rep. Feenstra, and look forward to continuing the fight on behalf of American family farmers, ranchers, and small businesses.”

“I have always believed that the death tax is politically misguided, morally unjustified, and downright un-American,” said Rep. Sanford D. Bishop, Jr. “It undermines the life work and the life savings of farmers and jeopardizes small- and medium-sized businesses in Georgia and across the nation.”

Full legislative text can be found HERE.

Cotton, Boozman, Thune reintroduce legislation to repeal the Federal Death Tax

Westerman cosponsors legislation to permanently repeal The Death Tax