Thomas Mott Osborne: “I rise in support of H.R. 586, the Tax Relief Guarantee Act of 2002, and in support of the rule. I know there are…”

“I rise in support of H.R. 586, the Tax Relief Guarantee Act of 2002, and in support of the rule. I know there are divided views on whether the tax cut was good for the economy or not. Alan Greenspan says it was a good thing, and I guess I tend to agree with him. I would like to pay special attention to the permanent repeal of the death tax. Currently a farmer or small businessman needs three estate plans: First of all, if he dies before 2010, he has to be able to take advantage of the partial exemption; if he dies in 2010, he has a total repeal of the death tax; if he dies after 2010, then he has no death tax exemption and he has to pay the full death tax. This may sound a little bit extreme, but this is what is going on today. Can you imagine dropping dead while you are watching the football games on January 1, 2011, and your family will not come to the funeral the next day because you died one day too late? That is real pressure to die on time in 2010, and that is basically what we have to do. So what I would like to point out is that, as has been pointed out in previous debate, the death tax is the most unfair tax. The estate has already been taxed by income, Social Security, property and sales taxes. Then over half of what is left goes to pay taxes. Heirs usually have to sell the farm or business after estate taxes. There are not enough assets left to operate. Money leaves the communities, and this is devastating to small towns.”