WALLY HERGER: “Mr. Speaker, Americans are taxed all their lives: when they get a job; when they are married; and yes, even when they…”

“Mr. Speaker, Americans are taxed all their lives: when they get a job; when they are married; and yes, even when they die. Today we are considering legislation to end the destructive death tax once and for all. The death tax is wrong and it is bad policy. First, the death tax is double taxation. Every dollar invested in a family farm and small business or a household has already been taxed or will be taxed in the future. Secondly, the death tax has its hardest impact on middle-income Americans, not the super wealthy, but individuals and families who have invested their life's savings into small businesses and are often asset-rich but cash-poor. For this reason, the death tax is the leading cause of dissolution of most small businesses. One-third of small business owners today will have to sell or liquidate their small business to pay the estate tax. Half of those who do liquidate will have to eliminate 30 or more jobs. Is it any wonder that 70 percent of all businesses never make it past the first generation and 87 percent do not make it to the third? Finally, the death tax collects only a small percentage of Federal revenues. The death tax actually comprises just 1 rac{1}{2} ext{ percent of total Federal revenues.”