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Estate Tax Bill Clears Va. Senate
Senators Have Enough Votes To Override Veto

12:23 p.m. EST February 4, 2003

RICHMOND, Va. -- Legislation exempting the estates of millionaires from being taxed after they die cleared the State Senate Tuesday with enough votes to override a likely veto by Gov. Mark Warner.

The Senate bill to repeal the estate tax effective in 2005 won final passage on a 31-8 vote one day after the House approved it on a veto-proof vote of 69-29.

Under the legislation, Virginia's tax on estates valued at $1 million or more will be exempted from taxation.

The state legislature's move follows similar legislation to phase out the federal estate tax.

The vote found the General Assembly's dominant Republicans solidly behind their centerpiece legislation for this election-year legislative session, with a few Democrats supporting them.

Opponents accused the GOP of continuing to eliminate unpopular taxes with no regard for the fiscal consequences and said repealing the tax on less than 2,000 of the wealthiest Virginians sends the signal, as one legislator put it, "we'll tax you except if you have a rich daddy."

Supporters said the bill keeps capital and jobs from fleeing Virginia for other states that have ended the tax and allows people build successful farms and businesses to pass to their heirs rather than selling assets to pay taxes.