Working Families Tax Cuts Invest in Farmers and Ranchers

Working Families Tax Cuts Invest in Farmers and Ranchers

Washington, D.C.-Agriculture's fundamental role in our communities is clear. Every day, farmers and ranchers in Idaho and across the country work hard to ensure Americans and populations around the world are well fed, which is why today is observed as National Agriculture Day. Thanks to the Working Families Tax Cuts law led by U.S. Senate Finance Committee Chairman Mike Crapo (R-Idaho), that hard work is now supported by policies that will help farm families continue to produce abundantly with more certainty about federal tax and agricultural policy affecting their operations.

"Agriculture is the cornerstone of Idaho's economy, accounting for 20 percent of our gross state product," said Crapo. "Providing certainty in our tax code, while extending and enhancing other pro-growth provisions, will make it easier for producers to access the capital they need to buy new equipment and weather lean years and ensure family farms can be passed down for generations to come."

Key wins:

• Permanently doubles the death tax exemption so family farms can stay in the family
• Permanently restores full expensing for new farm equipment and vehicles
• Makes permanent the small business deduction claimed by hundreds of thousands of family farms and ranches
• Allows deferral of capital gains tax on farmer-to-farmer land transfers
• Allows banks to exclude a portion of interest income on farm loans, helping them provide farmers and ranchers more affordable loans
• Extends the farm safety net and supports investments in agriculture and research programs

What they are saying:

"My first thought is, if you like to eat, you will help us with this. . . . When you buy that piece of equipment, you're expected to pay it off in three to seven years. That's usually what the finance is at. Those are pretty hefty bills that come to play. Being able to use that 100 percent depreciation, it freed up money so I can make those payments." - Jolene Riessen, Iowa farmer

"The extension of the tax provisions are a lifeline for American farmers, especially as it relates to fruits, vegetables, and flowers. If you think about all the headwinds that American farmers are experiencing-between labor, increasing costs, access to markets-the extension of these provisions provide much needed relief." - Cathy Burns, President and CEO, International Fresh Produce Association

Click HERE to learn more about how the Working Families Tax Cuts support American agriculture.

Click HERE to learn more about the Finance Committee provisions in the Working Families Tax Cuts.