ACT NOW FOR PASSAGE of Bankruptcy Reform and Estate Tax Repeal!

1. Please FAX the letter below to your U.S. Representative requesting support of bankruptcy and estate tax reform.

Helpful hints:
a) A copy of this letter can be obtained at www.nrla.org. Just cut and paste the text onto your letterhead.
b) You can find out the name of your member of congress by calling NRLA at (800) 292-6752, or by accessing www.congress.org.

2. Please fax a copy to NRLA at (518) 286-1949 or e-mail a copy to: rferris@nrla.org.

U.S. House of Representatives
Washington , DC 20515
VIA FACSIMILE:

Dear Representative:

I write to ask for your support for the Bankruptcy Abuse Prevention and Consumer Protection Act (S.256) and the Death Tax Repeal Permanency Act (H.R.8), which will be voted on by the House of Representatives this week.

Independent lumber dealers are greatly impacted by bankruptcy loopholes, as contractors with store credit have been known to declare bankruptcy. Often, and particularly with Chapter 7 bankruptcies (liquidation), building material suppliers are left with little or no choice but to absorb the immense impact of the unpaid bills. By creating a means test to determine a debtor’s ability to repay debt, more filers will be moved into a repayment plan under Chapter 13 (reorganization), giving building material suppliers a better chance of recovering at least part of the debt owed.

Repealing the Estate Tax is necessary because it taxes business owners twice on the same income - once on the income when it is made and a second time upon their deaths. The death tax is especially unfair to the building material supply industry, where much of the estate's value is not based on cash flow, but rather on equipment and inventory needed to run the business. Heirs are often forced to sell off the equipment and inventory to meet their tax bill.

As you know, many times the "death tax" also kills the business. However, the detrimental effects are not limited to business owners. The tax also has a devastating impact on the employees who depend on salaries and benefits to take care of their families.

The burden of Estate Tax is one of the largest challenges facing family-owned businesses. Ironically, this tax does not result in the redistribution of wealth, but in its further concentration. By forcing family-owned businesses to sell - either in anticipation of the tax or in order to pay it - these businesses are made easy targets for larger, non-local, publicly traded companies to swallow up at greatly reduced values.

Thank you for considering my concerns. I hope you will be able to support these measures when they are raised for a vote.

Sincerely,

Back to Action Alert listing