|Posted:||December 3, 2014 10:39 AM|
|From:||Senator John R. Gordner|
|To:||All Senate members|
|Subject:||Proposed Legislation Clarifying the Inheritance Tax Exemption for Family-Owned Farms|
|In the near future, I will be introducing legislation which clarifies provisions in the Tax Code related to the inheritance tax exemption for family-owned farms.
Act 85 of 2012 inserted provisions into the Tax Code to exempt the assessment of the inheritance tax on transfers of certain family-owned farms. It has come to my attention that the Department of Revenue, in implementing these provisions, has not approved exemptions for transfers that are effectuated through certain estate planning mechanisms including trusts.
While Act 85 seems to cover these types of transfers, it has come to my attention that further clarification is needed to cover transfers that occur through these types of estate plans that result in the transfer of a farm to members of the same family.
The intent of this legislation is to provide additional guidance to farmers and the professionals who advise them on implementing prudent estate plans.
Please contact my office if you have any questions regarding this proposed legislation.
Introduced as SB580