Immediate Tax Relief to Farmers, Ranchers, & Small Businesses in Rural America
Permanent Death Tax Relief.
Prevents Death Tax from hitting over 2 million family-owned farms who would otherwise see their limitation cut in half. Further raises exemption level to ensure family-owned farms and ranches can be passed down to the next generation.
Permanent Small Business Deduction.
98% of farms in the U.S. are pass-throughs. Prevents the Small Business Deduction from ever expiring and makes it permanent at 20%.
Permanent 100% Immediate Expensing.
Ensures farmers can expense today the tools that secure tomorrow’s harvests.
Permanent Doubled Small Business Expensing.
Increases section 179 Small Business Expensing threshold to $2.5M. Agricultural industry utilizes one-fifth of all Small Business Expensing deductions across the American economy.
Immediate Expensing for NEW manufacturing/production structures in America.
Enhances cost recovery for new agricultural and farm investments in Rural America.
Renews Opportunity Zone (OZ) program to better target Rural America.
Provides new OZ incentive to drive $100B of investments to rural and underserved areas.
Puts Fly Over States First
Makes lower tax rates and brackets, doubled Guaranteed Standard Deduction, and Child Tax Credit from the 2017 Trump Tax Cuts permanent:
Making these provisions permanent stops the $1,700 tax hike on American families.
Further increases the Standard Deduction and Child Tax Credit permanently.
Protects Rural America’s ability to help deliver fuels for America:
Ensures American farmers are not crowded out by Chinese cooking oil and other foreign imports in liquid fuel production markets.
Lowers the cost of borrowing for America’s farmers:
Reduces the tax burden on interest income for loans secured by real property for agricultural production.
Helps farmland stay in farming production:
Reduces the tax burden on America’s agricultural land and keeps it in production for the next generation of farmers and producers.
Raises the 1099-MISC threshold from $600 to $2,000:
Lowers the administrative burden for small farmers and ranchers employing temporary and seasonal workers or small on-farm contract jobs.
Extending Trump’s Tax Cuts Will Make Rural America Great Again After Neglect Under Joe Biden
Following the enactment of the 2017 Trump Tax Cuts, small- and medium-sized family farms saw their effective tax rates decrease by up to 6%.
Should the rates and brackets from the Trump Tax Cuts expire, farm households would see their tax liabilities increase by nearly 12%.
If the 199A Small Business Deduction is allowed to expire, family farms utilizing the deduction will see their tax bill increase by $2,500.
The average Child Tax Credit (CTC) claimed by farm households is $3,770. If the CTC expansion expires, that average would decrease by 64% to $1,331.