Newsline for June 7, 2000

I'M BOB ELLISON. OUR REPORT RUNS 1:10.

HERE IS A SUGGESTED LEAD: THERE IS A VOTE SCHEDULED IN THE HOUSE THIS WEEK TO PHASE OUT DEATH TAXES. BOB ELLISON HAS MORE.

ACTUALITIES COME FROM AMERICAN FARM BUREAU GOVERNMENTAL RELATIONS SPECIALIST PAT WOLFF. WOLFF IS SPELLED W-O-L-F-F.

THERE ARE TWO EXTRA ACTUALITIES FOLLOWING THE STORY. IN THE FIRST EXTRA ACTUALITY, WOLFF SAYS DEATH TAXES CAN CRIPPLE A FARMING OPERATION. IN THE SECOND EXTRA ACTUALITY, WOLFF SAYS FARMERS WOULD PREFER TO SEE DEATH TAXES ELIMINATED IMMEDIATELY.

STAND BY, THE STORY COMES FIRST IN 3...2...1...

(ELLISON) THE DEATH TAX ELIMINATION ACT OF 2000 WOULD GRADUALLY REDUCE THE ESTATE TAX RATE UNTIL IT IS ELIMINATED IN 2010. THE AMERICAN FARM BUREAU'S PAT WOLFF SAYS DEATH TAXES CAUSE PROBLEMS FOR FARM FAMILIES BECAUSE THEIR WEALTH IS TIED UP IN THE FARM.

(WOLFF) THEY HAVE LAND, THEY HAVE EQUIPMENT, THEY HAVE CATTLE AND THEY OFTEN HAVE TO SELL THEIR FARM ASSETS TO PAY THE TAX. THAT CAN DESTROY THE BUSINESS OR CRIPPLE IT TO THE POINT WHERE IT CAN'T CONTINUE AS A FARM.

(ELLISON) WOLFF SAYS IT IS WRONG FOR A FAMILY TO LOSE THE ABILITY TO FARM SUCCESSFULLY BECAUSE OF A PUNITIVE FEDERAL TAX.

(WOLFF) WHEN A FARMER WORKS HIS WHOLE LIFE TO BUILD A BUSINESS THAT'S PROFITABLE, THAT BUSINESS SHOULD BE TRANSFERRED TO HIS CHILDREN. WHY SHOULD A FARMER'S CHILDREN LOSE THEIR JOBS BECAUSE THE GOVERNMENT WANTS TAXES BECAUSE YOU DIE.

(ELLISON) WOLFF SAYS THERE ARE LEGAL SHELTERS PEOPLE CAN SET UP TO HELP THEIR HEIRS AVOID DEATH TAXES. BUT SHE ADDS THOSE OPTIONS ARE AVAILABLE MOSTLY TO THE WEALTHY.

(WOLFF) THOSE THINGS ARE EXPENSIVE. FARMERS SHOULDN'T HAVE TO SPEND A LOT OF MONEY FOR ATTORNEYS AND INSURANCE POLICIES. THEY COULD BETTER USE THAT MONEY TO RUN THEIR BUSINESSES.

(ELLISON) IF THE HOUSE PASSES THE MEASURE, THE SENATE SHOULD TAKE IT UP IN LATE SUMMER OR EARLY FALL.

BOB ELLISON, WASHINGTON.

STAND BY FOR THE FIRST EXTRA ACTUALITY. THE CUT RUNS TWELVE SECONDS, IN 3...2...1...

(WOLFF) DEATH TAXES CAN PUT FARMS OUT OF BUSINESS OR THEY CAN CRIPPLE THE OPERATION TO THE POINT WHERE SOMEONE MIGHT HAVE TO GO OFF THE FARM TO GET A SECOND JOB. IN EITHER CASE IT'S WRONG.

(ELLISON) STAND BY FOR THE SECOND EXTRA ACTUALITY. THE CUT RUNS FOURTEEN SECONDS, IN 3...2...1...

(WOLFF) UNFORTUNATELY, THAT'S NOT POSSIBLE BECAUSE OF SOME FEDERAL BUDGET CONCERNS, SO REDUCING RATES OVER THE NEXT TEN YEARS AND THEN ELIMINATING TAXES IS CERTAINLY A STEP IN THE RIGHT DIRECTION.

(ELLISON) THE FARM BUREAU RADIO NEWSLINE IS UPDATED EVERY MONDAY, WEDNESDAY AND FRIDAY AT 5 P.M. EASTERN TIME. THANK YOU FOR LISTENING.