Republican Congressman Randy Feenstra says a tax change President Biden has proposed is “effectively the death tax with a new coat of paint.” The proposal would treat the transfer of inherited property like a sale, so capital gains taxes would be collected.
“This dramatically affects our farming community,” he says.
Feenstra, who represents Iowa’s fourth congressional district, says Biden’s proposed $1 million exemption for individuals and $2 million exemption for couples who inherit property isn’t enough.
“When you start selling land or you start selling a small business, that’s not very much,” Feenstra says, “especially when you’re into agriculture and all the equipment and all this other stuff that you’re trying to pass on to the next generation.”
Feenstra says with inflation rising, Biden’s proposed budget – and the proposed taxes to finance it – should be scaled back.
“Each year we take in about $3.25 trillion of revenue,” Feenstra says, “so when you create a budget of $6 trillion, that should raise everybody’s eyebrows.”
Feenstra says if Biden’s budget is adopted, it will “devalue the dollar” and make consumer goods more expensive.
(Dennis Morrice, KLEM, Le Mars contributed to this story.)