Farmers Testify on Personal Estate Tax Experiences

During a separate hearing Wednesday with the House Ways and Means Committee - American Farm Bureau member Brandon Whitt testified and urged Congress to repeal the estate tax - outlining the harmful impact the estate tax has on family-owned businesses. Whitt says agriculture looks different on farms from state to state - but every farmer faces the same reality that an uncertain tomorrow can bring. Farmers and ranchers make decisions to expand their businesses and remain competitive while facing unpredictable weather and fluctuating markets - so Whitt asked the committee why estate tax uncertainties should be added to these challenges. Whitt has personal experience with the estate tax - as everything changed when his father-in-law was forced to sell off land to pay those taxes. Whitt and his father-in-law continue to face expensive, long-term decisions to make their farm viable far into the future - but they are committed to preserving the land for future generations. Whitt says this tax policy conflicts with farmers and ranchers’ desire to preserve and protect their family-owned farms and ranches.

National Cattlemen’s Beef Association member Bobby McKnight also testified - saying many farm and ranch families are asset-rick and cash-poor. McKnight says strong export demand has been one of the driving forces in the increase in value of crop and pasture land in almost every state - not to mention the pressure from commercial development. Combined together - he says the increase in farmland value has many families concerned they may trigger the estate tax simply through increasing land values. When times have been lean - he has had to make sacrifices to keep his business above water - but sometimes McKnight says you run out of places to cut - which is what happened to his family during hard times brought on by the estate tax. He had to let go of seasoned employees that had their own families and were forced to work elsewhere. NCBA and AFBF call for the repeal of the estate tax.