GOP Looking To Make Ag Tax Breaks Permanent

Republicans in DC, hope to make individual tax breaks, including for agriculture, permanent in their next version of tax reform, which they plan to take up in the lame-duck Congress.  It was a key shortcoming of the sweeping tax reform bill Republicans passed last year and one that Democrats pointed to in denying any bipartisan support for the GOP effort; temporary breaks for individuals, permanent ones for corporations.  American Farm Bureau tax adviser Pat Wolff said Republicans will now try to end the disparity in ‘tax reform 2.0'.

“Unfortunately the one cent impact farmers and ranchers are the temporary provisions.  They expire at the end of 2025.  Now, the tax cuts that were passed, were really good news for farmers and ranchers, but the fact that they expire creates uncertainty.”

House Ways and Means Chair Kevin Brady seeks to end that uncertainty, and overcome funding limitations that made individual and many farm business breaks, temporary.

“It completes what Congress started last year," Wolff said.  "It will make the business tax cuts for small business, for unincorporated businesses permanent, they wouldn’t expire at the end of 2025 and it would create certainty for farmers and ranchers.”

Wolff says 98% of farming operations are non-incorporated.  Republicans are also cueing up a tax extenders package for the lame duck session in December, including one for biodiesel.

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