SANTA CLARITA – U.S. Rep. Howard P. "Buck" McKeon, R-Santa Clarita, issued the following statement regarding President Clinton's veto today of bipartisan legislation repealing the death tax:

"Once again, the Clinton-Gore administration has denied millions of Americans relief from this onerous and unnecessary tax. It's not right that just as a small business owner or family farmer draws their last breath, the IRS is drawing up their last tax bill." "The death tax represents double taxation. The income taxed when it is earned, and then is taxed a second time at death. This is morally wrong and results in a loss of jobs for everyone.

"According to the National Federation of Independent Businesses (NFIB), one-third of small-business owners today will have to sell outright or liquidate a part of their company to pay the death tax. Half of those who must liquidate to pay the IRS will each have to eliminate 30 or more jobs.

"According to the NFIB, more than 70 percent of family businesses do not survive the second generation and 87 percent do not make it to the third generation. Sixty percent of small-business owners report that they would create new jobs over the coming year if estate taxes were eliminated.

"According to the American Farm Bureau, 99 percent of U.S. farms are owned by individuals, family partnerships or family corporations. About half of farm and ranch operators are 55 years or older and are approaching the time when they will transfer their farms and ranches to their children."

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