"DEATH TAX" response from Senator MArco Rubio

"DEATH TAX" response from Senator Marco Rubio:

Dear Mr. Dresko,

Thank you for contacting me in regard to the estate tax, also known as the death tax. Congress must address this issue before the end of 2012 in order to stop a massive tax increase.

As you know, the federal estate tax is a tax on the transfer of an estate of a deceased person. The Economic Growth and Tax Relief Reconciliation Act of 2001 repealed the federal estate tax at the end of 2009. However, the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 reinstated the tax, and absent Congressional intervention we will see a 55% tax rate on estates worth more than $1 million, come 2013. Currently, estates valued at $5 million or less are exempt from the tax. Estates worth more than $5 million are taxed at a 35% rate. Under current law, the estate tax is scheduled to revert to 55% with a $1 million exemption next year unless Congress acts.

The estate tax is the equivalent of double taxation on a lifetime of earnings and investment. The estate tax particularly hurts family farms and small businesses because these are the types of estates commonly transferred to the next of kin. Furthermore, this tax keeps America on a path toward a diminished future at a time when unemployment remains above 8.7% in Florida and 7.9% nationally.

I have co-sponsored the Death Tax Repeal Permanency Act of 2012, which was introduced by Senator John Thune (SD) on March 28, 2012. The bill would completely end estate taxes and provide relief to Florida family farms and businesses.

The American people have every reason to be disappointed by Congress' unwillingness to fix a complicated and burdensome tax code. As Florida's junior Senator, I will keep your thoughts in mind as I work to reform our tax code and repeal unnecessary taxes.

Sincerely,

Marco Rubio
United States Senator