Prior to a House Ways and Means Select Revenue Measures Subcommittee hearing that took place last week, NPC joined a group of 40 national agriculture organizations on a letter to House and Senate leadership outlining the industry’s position on tax provisions under consideration that could put family farms in jeopardy.
The group writes, “As Congress turns its attention to making investments in our nation’s infrastructure and human resources, we urge you not to alter or eliminate long-standing tax code provisions that are fundamental to the financial health of production agriculture and the businesses that supply its inputs, transport its products, and market its commodities.”
In particular, the letter argues for:
- Maintaining the current estate tax exclusion limits, which allow for the ability to transition an agricultural operation when a family member or business partner dies;
- Advancing federal tax policy that helps facilitate the transfer of agricultural land to family-owned operations and opposing proposals to impose new capital gains tax at death; and,
- Maintaining a reasonable level of taxation for pass-through business’ like farms and ranches by continuing the Sec. 199A business income deduction.
The full letter can be found here.