Democrats block final repeal of death tax

At the top of the Republican agenda, both for President Bush and the congressional GOP, is elimination of the estate tax, also known as the death tax.

A phased elimination of the death tax over several years is a centerpiece of the historic tax cut passed a year ago this week, which is perhaps the foremost domestic accomplishment of the president thus far in his term.

The problem is that the phased-out death tax is then slated to be fully reinstated in 2011. This absurd result is one we arrive at for one reason: Congressional Democrats, who fought President Bush's tax cut tooth and nail but were unable to prevent passage. They succeeded in forcing in a provision making the tax cuts temporary.

Thanks to this ploy, Democrats forced a provision in the bill that effectively causes the whole tax cut to lapse in 2011.

If the death-tax cut is truly repealed effective that year, it will result in the largest-ever overnight tax increase in American history, as the income-tax rates would rise again to levels prevailing before the bill passed a year ago.

But the effect on the estate tax would be even more perverse: Overnight, the repeal of the death tax would be a thing of the past, with our current, punishing taxation levels back in place.

To say the least, this will place a premium on dying in the year 2010, to avoid the higher taxes that would be restored in 2011.

Congressional Republicans are joining with the president to make all the tax cuts permanent. Senate majority leader Tom Daschle refuses to go along.

Last week he led Senate Democrats in a vote that defeated the GOP attempt to repeal the death tax once and for all.

Sadly, we note that Missouri Sen. Jean Carnahan, who last year voted for the Bush tax cut, followed Daschle's lead in voting against Republican efforts to eliminate the death tax. This places her squarely in the camp of liberals such as Ted Kennedy and Hillary Clinton.

Elimination of the death tax is sound economic policy that also happens to be right morally.

Death shouldn't be a taxable event for small businesses and family farms.

When you've spent a lifetime building a business or farming operation -- and have already paid taxes on everything -- you shouldn't have to give most of it away to the government at death.

If Carnahan doesn't get it, then that is definitely something Missourians should remember in November.