The Senate Finance Committee held a hearing on tax reform Tuesday, and specifically the business tax code, something farmers and agribusinesses are watching closely.
The American Farm Bureau Federation (AFBF) is calling on Congress to focus on taxes, including making some provisions that are currently temporary, permanent.
Tax tools like cash accounting and interest deductions for small businesses, they say are vital to long-term financial planning.
“Because farmers and ranchers are price takers, we need the ability to hold our commodities over from year to year,” said Kalena Bruce, chair of AFBF’s Young Farmers and Ranchers Committee. “We need the ability to store our corn in the bins or hold our calves until we can ensure a good price in the market.”
At the Senate hearing, cash accounting was discussed; however, those keeping a close eye on Washington D.C. say it’s likely the Senate will need to pass a budget resolution first, which would allow the “reconciliation” process to ease passage in the Senate.
President Donald Trump is continuing to push the issue, including holding meetings with congressional leadership.