Sanchez introduces deficit-reducing estate tax fix

The plan applies a 45 percent tax on estates worth between $3.5 million and $10 million. Estates between $10 million and $50 million would taxed at 50 percent and estate above $50 million would be taxed at 55 percent.   

The proposal also applies a 10 percent surtax on estates worth more than $500 million, $1 billion for couples. 

"Millionaires and billionaires need to pay their fair share in estate taxes, especially at a time when we have a record-breaking national debt," Sanchez said in prepared remarks. "Tax breaks under George W. Bush favored the wealthy and contributed to a growing gap between the very rich and everyone else. It's time they pay their fair share." 

The bill also closes so-called loopholes for estate and gift taxes by requiring consistent valuation for transfer and income tax purposes; modifying rules on valuation discounts; and requiring a ten-year minimum term for Grantor Retained Annuity Trusts. The administration's Office of Management and Budget estimate that closing these provisions will raise approximately $24 billion over the next ten years. 

In addition, the legislation allows for value of family farms to be lowered by up to $3 million for estate tax purposes, and provides increased relief for conservation easements.

Sens. Bernie SandersBernie Sanders2020 Democrats join striking McDonald's workers Billionaire's M gift to Morehouse grads points way to student debt solution Poll: Nearly half of Clinton's former supporters back Biden MORE (I-Vt.), Tom HarkinThomas (Tom) Richard HarkinStop asking parents to sacrifice Social Security benefits for paid family leave The FDA crackdown on dietary supplements is inadequate Wisconsin lawmaker refuses to cut hair until sign-language bill passes MORE (D-Iowa) and Sheldon WhitehouseSheldon WhitehouseOvernight Energy: Democrats ask if EPA chief misled on vehicle emissions | Dem senators want NBC debate focused on climate change | 2020 hopeful John Delaney unveils T climate plan Democratic senators want NBC primary debate to focus on climate change Overnight Energy: EPA watchdog finds Pruitt spent 4K on 'excessive' travel | Agency defends Pruitt expenses | Lawmakers push EPA to recover money | Inslee proposes spending T for green jobs MORE (D-R.I.) have introduced a companion bill in their chamber.