SPRINGFIELD - Efforts are underway in Illinois for a bipartisan bill aiming to raise the threshold triggering the state's estate tax on family farms. Currently set at $4 million, Illinois Farm Bureau President Brian Duncan emphasized that this tax can compel family farms to sell portions of their businesses after a loved one's death. State Sen. Dave Koehler's proposed legislation, Senate Bill 2921, seeks to increase the taxable threshold from $4 million to $6 million. Koehler highlighted the disproportionate impact, stating that the estate tax on a farm of around 300-350 acres could be nearly $5 million, overshadowing the income generated. Around a dozen legislators from both parties voiced support for this change, citing the significant burden the inheritance tax places on family farms. Koehler clarified that the proposed measure specifically addresses family farms, not other small businesses, to focus on preserving the family farm as a crucial aspect of Illinois' way of life. A parallel measure, House Bill 4600, has also been introduced, with the legislature set to reconvene next week.
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