Thomas Mott Osborne: “we hear over and over again how the repeal of the death tax is another tax break for the exceptionally wealthy. This…”

“we hear over and over again how the repeal of the death tax is another tax break for the exceptionally wealthy. This does not reflect my personal experience. I have been privileged to know a few very wealthy people and at no time have I ever heard from any of those people any discussion about the death tax. The reason for this is that nearly all of them have foundations, they have trusts, they have offshore investments, and none of them will leave money to the government in the form of inheritance tax. The segment of the population that is affected most by the death tax consists of those individuals who have a single fixed asset that has appreciated significantly over time. In my district, which is largely rural, many small businesses, ranches and farms fit in this category. The farmer who bought land at $100 an acre 40 years ago that is worth $2,500 an acre today and the rancher who purchased grazing land at $20 an acre 50 years ago that is currently valued at $300 an acre would be examples. Nearly all of the profits from those farms and ranches have been put back into the property. Most farmers and ranchers are land-rich but cash-poor. Yesterday I spoke with a cattle feeder who bought cattle from 100 ranch families in the Sandhills of Nebraska. I asked him what his number one concern was. He said that it was the death tax. He said that six of those 100 ranches were sold last year because the heirs could not pay the death tax.”