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State
Representative Jim Buchy
Death Tax Now a Part of Ohio
History
A
few weeks ago, while people
around the world counted down the end of 2012, around here the
celebration
could have been counting down the elimination of Ohio’s death tax.
The
estate tax, or “death tax,” in
Ohio dates back to the late 19th century, when it was first adopted.
This
regressive and outdated taxing method has become a major impediment to
economic
growth and has cost companies and family farms a great deal of money,
sometimes
forcing them out of business. Some
local
governments even gambled on the death of residents by accounting death
tax
revenues into their budgets.
In
our current economic
circumstances, where jobs are the number one priority, the costs
incurred on
small businesses by way of the estate tax have made it more difficult
for them
to hire workers and grow the company. Farmers, specifically, often have
most of
their net worth in hard assets such as buildings and land. When the
owner of
the property died, the family may be forced to sell a portion of the
farm just
to pay the estate tax.
In
a case like that, the estate tax
simply tears down what a private citizen worked so hard to build up.
This
activity can especially hurt people who live in rural areas like
Mercer, Darke,
Auglaize and Shelby counties. That is why I was happy to vote in favor
of
legislation that eliminated the estate tax.
I
have always supported the
elimination of this harmful tax even before I was first elected to the
legislature
in 1982. I had no idea I would be waiting more than 30 years to see a
bill that
deleted this double tax. House
Bill 3
was introduced in early 2011. It was amended into the state’s operating
budget
and passed. With the Governor’s signature the death tax became part of
Ohio
history and I firmly believe our state will be stronger and more
competitive
because of it.
Here
in west central Ohio we know,
agriculture is an industry that defines what Ohio is all about. It is
my
sincere desire to protect family farms and the small businesses that
depend on
generational ownership.
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