Taxation committee votes out estate tax bill

The Joint Standing Committee on Taxation voted along party lines – with Democrats supporting and Republicans opposing – the “ought to pass as amended” report on LD 1704, An Act to Change the Exclusion Amount Under the Estate Tax and Provide Additional Funding for the Housing Opportunities for Maine Fund. Sponsored by Rep. Rachel Talbot Ross (D-Portland), LD 1704 is a carryover bill. The Maine State Chamber testified in opposition to the bill last session. Among other things, the bill as originally drafted would have lowered the exclusion amount under the estate tax from $5.7 million to $1 million, making more of Mainers’ estates taxable.

The amendment replaces the bill entirely. Beginning January 1, 2023, the bill As amended would distribute on a monthly basis 50% of all revenues generated by the estate tax to the Housing Opportunities for Maine Fund to provide for the development of affordable housing. The legislation would sunset in 2030 and would contain a definition of affordable housing.
 
If you have any questions, please contact Linda Caprara, senior government relations specialist, by calling (207) 623-4568, ext. 106, or by emailing lcaprara@mainechamber.org.