Ag groups ask for tax extenders bill
Many farm groups today wrote congressional leaders asking that they address the many provisions of the tax code — tax extenders — that expired last December 31.
“We offer our support and commonsense advice as to why it is important for Congress to renew certain areas of the expired tax code with specific focus on Section 179 small business expensing and bonus depreciation,” the groups wrote.
“As you probably know, agriculture requires significant investments in machinery, equipment and other depreciable assets and because of this farmers and ranchers place great value on tax code provisions such as Section 179 small business expensing and bonus depreciation,” the letter said.
“Section 179 and bonus depreciation allow them to write off capital expenditures in the year that purchases are made rather than to depreciate them over time.”
“The ability to immediately expense capital purchases also provides an incentive for farmers and ranchers to invest in their businesses and offers the benefit of reducing the record keeping burden associated with the depreciation.”
–The Hagstrom Report