H.R. 5771, also known as the Tax Extenders Bill, passed the U.S. Congress yesterday. The bill contains a provision in the tax code, Section 179, which would allow a small business, like a farm or ranch, to expense up to $500,000 in capital investment, when requirements are met.
AFBF President Bob Stallman released the following statement regarding the passage of the bill. The bill will now go on to the President for his signature.
“Passage of H.R. 5771 means farmers and ranchers are one step closer to tax laws that will let them reinvest in their businesses. Farm Bureau now urges the President to sign these temporary provisions into law for 2014.
“Thanks to tax provisions like Section 179 small business expensing and bonus depreciation, hard-working Americans will be free to put their money directly back to work on their land and in their local communities.
“The domestic energy market will continue to grow and innovate, thanks to the renewal of fuel and power tax incentives. A boost in our clean, renewable energy market here at home will help farmers, ranchers and consumers alike as more affordable energy is available.
“Farmers and ranchers need more than just a temporary tax fix, however. They need certainty that these provisions will be there in the coming years as they make long-term business decisions. Farm Bureau looks forward to working with Congress to ensure agriculture can count on these tax provisions not just this year, but every year.”