Lawmakers in Harrisburg recently considered a proposal that would exempt business assets from the state’s inheritance tax. The legislation is a welcomed glimmer of hope for many family-owned, small businesses in Pennsylvania.
Pennsylvania’s inheritance tax is particularly taxing for many small businesses because heirs often are forced to close the family business when an owner dies in order to pay the tax. Even though the state largely repealed the inheritance tax on family farms last year, more than 15,000 non-farm small businesses in Pennsylvania are still potentially on the hook for inheritance taxes.
State Sen. Dominic Pileggi (R-Delaware) introduced legislation to repeal the death tax. The Pileggi legislation would extend the same relief given to family farms to mom-and-pop family businesses – to help keep them working and viable long after the owner has passed.
As often happens with proposed legislation, the proposal is off the table for now. If you have an opinion about repealing the death tax on small businesses, contact your representative and make your voice heard.
For more information about getting started or to make sure your business complies with existing laws and regulations, seek the help of a professional business law attorney. The attorneys at the Scolieri-Beam Law Group, P.C. can help you develop a strategy to meet your goals. Contact us today at (412)765-0546 or info@scolierilaw.com.