The American Family Business Institute (AFBI) applauds Representative Dan Burton (IN-5) for supporting family businesses and farms by co-sponsoring bi-partisan legislation to permanently repeal the Federal Estate Tax (commonly called the "death tax").

Burton joins more than 90 members of Congress who've signed the "Death Tax Repeal Permanency Act" (HR 1259), originally sponsored by Representatives Kevin Brady (R-TX-8) and Mike Ross (D-AR-4).

"Representative Burton is a champion for death tax repeal," said AFBI President Dick Patten. "By supporting legislation that repeals the Federal Estate Tax, he is standing up for family business owners, farmers and entrepreneurs across Indiana and America."

Burton is also fulfilling a commitment he made when he signed AFBI's "Death Tax Repeal Pledge" during the 2010 election cycle.

A total of 131 U.S. House and Senate members signed the pledge and committed to vote for repeal. A majority of Representatives and a near majority of Senators support full repeal of the tax. An economic analysis of HR 1259 by economist Stephen Entin found that the bill would increase federal government revenues by $89 billion over a 10-year budget period.

Repeal would also increase GDP by about 2.25 percent, private sector output and labor income (hours worked times hourly wage) by about 2.34 percent, and capital stock by 6.1 percent. The increase in other federal government tax revenue would more than offset the decline in the estate tax portion of the estate and gift tax.

Without repeal, nearly 10,000 small business owners and farmers will face the death tax this year alone, even with the higher, temporary exemption of $5 million.

HR 1259 would permanently repeal the Federal Estate Tax and Generation Skipping Tax. It also would maintain the current "step-up" treatment of capital gains, an issue of concern to many farmers.

The American Family Business Institute, www.nodeathtax.org, is a national, non-partisan organization of farmers and business owners who are committed to permanent repeal of the Federal Estate Tax.

Link to the original article in the Noblesville Times here.