Family Enterprise Preservation Act

Family Enterprise Preservation Act - Amends the Internal Revenue Code to allow a deduction of the value of an interest in qualified tangible property (tangible property located in the United States which on the date of decedent's death was being used as a farm for farming purposes or in a trade or business other than farming) from the value of a decedent's gross estate only if at least 50 percent of the adjusted value of the decedent's estate consisted of the adjusted value of tangible property which: (1) on the date of the decedent's death was being used for a qualified use; and (2) passed from the decedent to a qualified heir (a member of the decedent's family). Limits such deduction to $750,000 with respect to bequests of qualified tangible property to a decedent's spouse and $750,000 with respect to bequests of qualified heirs other than the spouse.

Imposes an additional estate tax if, within 15 years of the decedent's death and before the qualified heir's death, the qualified heir: (1) disposes of any interest in qualified tangible property (other than by a disposition to a member of his family); or (2) ceases to use such qualified tangible property for the qualified use. Provides for reducing the amount of additional tax for such disposition or cessation according to the number of years after the decedent's death that such disposition or cessation occurs. Prohibits the imposition of more than one additional tax with respect to any portion of an interest in such qualified tangible property.