June 3, 2025
Mrs. Hyde-Smith introduced the following bill; which was read twice and referred to the Committee on Finance
To amend the Internal Revenue Code of 1986 to increase the limitation with respect to the aggregate reduction in fair market value of farmland for purposes of application of the estate tax.
Section 1. Short title
This Act may be cited as the Helping Ensure Rural Inheritance Transfers Are Generationally Enduring Act
or the HERITAGE Act
.
Sec. 2. Increase in limitation on aggregate reduction in fair market value of farmland
(a) In general
Section 2032A(a)(2) of the Internal Revenue Code of 1986 is amended by striking shall not exceed $750,000
and inserting:
shall not exceed—
(A)
in the case of qualified real property which was being used for a qualified use described in subparagraph (A) of subsection (b)(2), $15,000,000, and
(B)
in the case of qualified real property which was being used for a qualified use described in subparagraph (B) of such subsection, $750,000.
(b) Conforming amendment
Section 2032A(a)(3) of the Internal Revenue Code of 1986 is amended—
(1)
in the matter preceding subparagraph (A), by striking the $750,000 amount
and inserting each dollar amount
, and
(2)
in subparagraph (A), by striking $750,000
and inserting such dollar amount
.
(c) Effective date
The amendments made by this section shall apply to the estates of decedents dying after the date of the enactment of this Act.