[Congressional Record Volume 160, Number 25 (Tuesday, February 11, 2014)]
[Extensions of Remarks]
[Page E203]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

                  THE SENSIBLE ESTATE TAX ACT OF 2014


                           HON. JIM McDERMOTT

                             of washington

                    in the house of representatives

                       Tuesday, February 11, 2014

  Mr. McDERMOTT. Mr. Speaker, I rise today to introduce the Sensible 
Estate Tax Act of 2014. This legislation offers a thoughtful, 
comprehensive approach to reforming our estate tax system that is 
supported by voters across all income levels. As America comes out of 
one of the worst recessions in its history, this Congress must 
carefully consider all sources of revenue that are not only effective, 
but fair and equitable. This estate tax embodies those values.
  The past decade of failed tax policies have killed jobs and resulted 
in significant income and wealth disparity in this country. The promise 
and strength of America lies in a system that benefits everyone. These 
tax policies have steered us away from this promise and crippled the 
American economy. The middle class continues to shrink as more and more 
wealth flows to the top--and this country's current tax system makes 
this unfairness worse. The current estate tax policy is the poster 
child for the unfairness we all see.
  That is why I am introducing this legislation. This bill will bring 
the estate tax back to the rates and exemptions from before the Bush 
tax cuts--a time when this country experienced continued prosperity and 
budget surpluses.
  Specifically, the Sensible Estate Tax Act of 2014 will return the top 
marginal rate to 55% and lower the exemption for individuals to $1 
million. Estate tax loopholes are also addressed, including a 10-year 
minimum on grantor retained annuity trusts, limitations on the 
generation skipping transfer trust exemption, and rules for consistent 
basis reporting.
  Succeeding financially in life is a wonderful American right and the 
families of wealthy people should benefit from that good fortune. But 
no one gets wealthy on their own. Financial success for any American is 
achieved by using the roads, schools, and public services that all 
Americans pay for. It is only fair that they reinvest in the country 
that provided them with so much opportunity.