Family Farms in the Crosshairs of Democrats’ Taxing and Spending Spree
‘The latest reckless taxing and spending spree that Democrats are cooking up would crush our country with a historic set of sweeping tax hikes… It appears our colleagues’ plan will eliminate tax rules that allow family property to be passed down without facing a new devastating tax burden.’
WASHINGTON, D.C. – U.S. Senate Republican Leader Mitch McConnell (R-KY) delivered the following remarks today on the Senate floor regarding tax increases:
“President Biden campaigned on a pledge not to raise income taxes on the vast majority of Americans.
“But the latest reckless taxing and spending spree that Democrats are cooking up would crush our country with a historic set of sweeping tax hikes.
“Here’s one of the targets in their crosshairs: Family farms.
“It appears our colleagues’ plan will eliminate tax rules that allow family property to be passed down without facing a new devastating tax burden.
“Without the fix in question – the so-called stepped-up basis for capital gains taxes – scores of family businesses across America could feel a massive squeeze.
“In states like Kentucky, family farms drive the rural economy. But as I’ve heard from many of my state’s family farmers, it’s operations like theirs that are especially at risk.
“One Kentucky farmer said his family has worked the same land in Muhlenberg County for nearly 150 years.
“He had hoped to one day pass his property along to his children, just like it was passed to him. But after generations spent improving and investing in the same farm, he’s worried it could all be gone in the blink of an eye.
“Another Kentuckian described how her family, like many farmers, is ‘asset rich [but] cash poor.’ If the stepped-up basis is eliminated, her family could lose the home, barns, machinery, and fields that have been their life’s work.
“The Farm Bureau in my state warned that what Washington Democrats are trying to do would ‘penalize’ farmers ‘for wanting to continue a tradition which we all depend upon.’ If the stepped-up basis is eliminated, generations of accumulated work would be ripped from the hands of farming families.
“Family farming in the Commonwealth isn’t just a way of life. It’s considered a birthright.
“But if Democrats foist the bill for their reckless taxing and spending spree on rural America, a lot of this heritage could be ripped out of families’ hands and put on the auction block.
“And who will gobble it up then?
“One recent report suggested that one of the biggest bidders for American family farmland these days is actually China.
“Later today, Ranking Member Boozman and some of our colleagues on the Agriculture Committee will be coming to the floor to sound the alarm about the ways that Democrats’ reckless tax-and-spend spree could threaten farm families and rural America.
“Death should not be a taxable event. The family farms that help feed us deserve support, not Washington sabotage.”
Related Issues: Taxes, Economy
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