Kay Bailey Hutchison: “If we are going to eliminate these family-owned businesses, it does not affect only the family, it also affects the…”

“If we are going to eliminate these family-owned businesses, it does not affect only the family, it also affects the people who work at places such as Afton Pumps because if they have to sell to pay for death taxes or they have to sell the property, there is a good chance those jobs are going to be eliminated, assuming they can sell it at all. In fact, one of the really sad things is the death tax is really a tax on asset-heavy, low-producing properties because many times these heavy assets have to be sold. They have to be sold at fire sale prices so the true value is not gained from the property, and then one has to come up with the money to pay the inheritance tax. It really is not a fair tax. It affects a lot of regular people, people in a situation where something was purchased at very low cost, but they have built it or their families have built it. They have a right to keep it. It was earned with the hard labor of their family, and they should be able to pass it to their children. I think this tax really came into being as extra income in time of war, but it was never repealed because the Government got hungry for more and more social programs. This is not a fair tax and we need to eliminate it so the people of our country can plan for their children's futures, so they will not have to do crazy things to try to protect property or businesses or assets that have been in their families for generations. This is not the American way. I yield the floor.”