U.S. Senator Orrin Hatch (R-Utah), Ranking Member of the Senate Finance Committee, issued the following statement after the Senate voted on two tax bills – one authored by Hatch to extend critical tax relief for virtually every American taxpayer and pave the way for comprehensive tax reform, and the other by Senate Majority Leader Harry Reid (D-Nev.) to raise taxes on nearly one million small businesses, increase the Alternative Minimum Tax (AMT) and increase the death tax on farmers, ranchers and small business owners:
“Action on the fiscal cliff is long overdue. The Democrats’ proposal includes a significant increase in the death tax. The number of death tax filers will increase under their bill by 11 times. This is what they are proposing — 98,300 new filers will now have to fill out estate tax forms, get appraisals, deal with the IRS, and get all this done within 9 months of the death of a loved one. That is the equivalent of one entire mid-size American city being forced to deal with the death tax every year. Their bill is also a massive tax increase on small business job creators. It would subject 53 percent of all flow through business income in the United States to higher taxes.
“There is a compromise here. It is the Hatch-McConnell bill. Our economy needs relief. Businesses and families need certainty. And all we are proposing is extending current tax law for one more year until we can do tax reform. By contrast, the Democratic bill offers nothing but more uncertainty and tax increases on job creators.”