Rep. Kristi Noem outlines agriculture’s tax reform priorities
Washington, D.C. — Rep. Kristi Noem last week outlined tax reform priorities for farmers and ranchers during a House Agriculture Committee hearing.
Noem highlighted efforts to repeal the Death Tax, protect cost-recovery mechanisms in the tax code to help young producers, and develop provisions to help when purchasing land and machinery.
More specifically, Noem explained:
“Just as the Farm Bill touches every family’s life because everyone eats, tax reform will impact everyone’s life because we all pay taxes in one way or another….
“We know some areas of the tax code disproportionately and unfairly impact America’s agriculture community. This includes the Death Tax…. That’s why I’ve sponsored legislation to repeal the Death Tax and was glad it was included in the House Ways & Means Blueprint.
“Additionally, what many don’t quite realize is how highly leveraged agriculture is…. Ensuring there are adequate cost-recovery mechanisms in the tax code is essential to attracting and keeping younger producers on the farm.
“Some use a combination of interest and expensing for operating notes and equipment purchases. Because land is a principle input for agriculture, ensuring there continues to be a cost-recovery mechanism for land purchases remains a priority.
“All this said, … [p]rovisions cannot be looked at in isolation. I encourage you to view tax reform as a comprehensive package that is aimed to increase opportunity and growth for Americans from all walks of life.”
–South Dakota Cattlemen’s Association