President Joe Biden in addressing the nation this week talked about his American Families Plan. He plans to have it part of it paid for by eliminating tax breaks as well as the stepped up basis and hiking the capital gains tax. He says that will be designed with protections so family owned businesses and farms won’t have to pay those taxes when given to heirs who continue to run the business. American Soybean Association President Kevin Scott who farms near Valley Springs, South Dakota says while that protection may be somewhat helpful, still has concerns.
He says the President needs to make sure his $1.8 trillion package is paid for but if it’s on the backs of elimination of stepped up basis and higher capital gains taxes, ASA will oppose that.
The President is targeting big corporations by taxing them to help pay for his plan but Scott says if they’re taxed they’ll just pass that cost onto someone else.
Biden’s American Families Plan focuses on education, direct support to low and middle income families and extending tax breaks to families with children.
