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[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 64 Introduced in Senate (IS)]

103d CONGRESS
  1st Session
S. RES. 64

 Expressing the sense of the Senate that increasing the effective rate 
   of taxation by lowering the estate tax exemption would devastate 
 homeowners, farmers, and small business owners, further hindering the 
                 creation of jobs and economic growth.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

             February 4 (legislative day, January 5), 1993

Mr. Lugar (for himself, Mr. Dole, Mr. Packwood, Mr. Lott, Mr. Bond, Mr. 
  Grassley, Mr. Smith, Mr. Pressler, Mr. Kempthorne, Mr. Gorton, Mr. 
 McCain, Mr. Hatfield, Mr. Danforth, Mr. Wallop, Mr. Burns, Mr. Roth, 
   Mr. Thurmond, Mr. Cochran, Mr. Coats, Mr. Gramm, Mr. Nickles, Mr. 
   Coverdell, Mr. D'Amato, Mr. Shelby, and Mr. Brown) submitted the 
  following resolution; which was referred to the Committee on Finance

_______________________________________________________________________

                               RESOLUTION

 
 Expressing the sense of the Senate that increasing the effective rate 
   of taxation by lowering the estate tax exemption would devastate 
 homeowners, farmers, and small business owners, further hindering the 
                 creation of jobs and economic growth.

Whereas the average savings rate in the United States (2.9 per centum of income) 
        is lower than that of any other industrialized country;
Whereas Government taxation of estates, which is the accumulation of assets 
        throughout one's lifetime, discourages individuals and families from 
        saving and investing;
Whereas estates often include the small businesses and farms of middle- and low-
        income Americans;
Whereas small businesses and farms have historically created most of the net new 
        jobs in this country and fueled the growth of the economy generally;
Whereas there are nearly two million family-owned farms in the United States 
        with an average value of $252,000;
Whereas assets that comprise the farm values are items such as: land, farm 
        buildings, operator's residence, machinery, automobiles, breeding stock, 
        grain stored on farm, and other stored farm inputs such as seed and 
        fertilizer;
Whereas recently proposed legislation would decrease the threshold for estate 
        tax exemption to $200,000;
Whereas decreasing such threshold would raise effective estate tax rates to a 
        level so high that the heirs of homeowners, farmers, and small business 
        owners with assets over $200,000 could be forced to liquidate their 
        assets to pay the taxes incurred by the proposed change in the tax law; 
        and
Whereas liquidation of productive assets to finance tax liabilities would 
        destroy jobs and further harm the fragile economy: Now, therefore, be it
    Resolved, That the Senate opposes any attempt to lower the estate 
tax exemption or raise the effective rate of taxes on estates, or 
impose additional taxes on estates such as a capital gains tax at 
death, because such measures contradict the fundamental goal of the 
United States Government of encouraging long-term private savings 
through which productive investment promoting economic growth can be 
realized.

                                 <all>
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