Introduced Version, Senate Bill 0010 and Introduced Version, Senate Bill 0011 SB 10 provides for the elimination of the Indiana inheritance tax in 2009. In the meantime, it reduces the tax owed by 20% in 2005-2006, 40% in 2006-2007, 60% in 2007-2008, and 80% in 2008-2009. SB 11 just gets rid of it in 2005.
Now, I’m all in favor of reducing taxes to the extent possible. But, the fact is, government is necessary for certain purposes. And it has to be paid for. My proposal is to reduce government as much as possible. Then, if we have more tax money than we need, get rid of sales taxes, gas taxes, property taxes first. You know, taxes that ordinary people pay. Once those taxes are gone, then you go after the inheritance taxes. My position is that a person has a greater claim to his paycheck and money he’s actually earned than an heir has a claim on someone’s estate. That being the case, it’s more fair to deprive the heir of some portion of his claim on the estate than it is to deprive the common laborer of some portion of his earnings.