“The death tax is one of the most unfair, un-American taxes on the books today,” Jones said.  “No American should be forced to pay up to 55 percent of their savings, their business, or their farm in taxes when they die. I am proud to have cast my vote today in favor of our Eastern North Carolina consumers, small businesses, and family farmers.”

H.R. 8, the Death Tax Elimination Act, would repeal the estate tax over the period of ten years. Currently, the estate tax does not serve as a significant source of revenue for the federal government. The Treasury Department reported that in 1998, the estate and gift tax raised only $24.6 billion, which amounts to only 1.3 percent of total federal revenues. 

“While small businesses and family farms are typically rich in assets, they often do not have the liquid resources to settle their death tax bill with the federal government.  As a result, the death tax has forced many family farmers and small business owners to sell some or all of their land or business.  In fact, today, less than half of family businesses are able to survive the death of a founder,” Jones said. 

“The death tax discourages savings and investment and punishes those Americans who work hard throughout their lives to pass on something to their children,” Jones said.  “It runs contrary to the freedom and free-market principles on which this nation was founded.  The federal government should encourage small businesses, not create obstacles for their existence.” 

The House passed H.R. 8 by a vote of 279 – 136.