The Beginning Farmer Tax Incentive Act helps new farmers by reducing their taxable income from farmland sales and rentals. This support encourages more people to enter farming and sustain agricultural production.
If you are a new farmer, you could save a lot on taxes when selling or renting farmland.
Who this affects
New farmers
What changes is this bill making?
1This bill allows new farmers to exclude 40% of profits from selling farmland.
2It also lets new farmers avoid taxes on rental income from farmland for up to 10 years.
3The maximum tax exclusion for selling farmland is $1.5 million over five years.
4New farmers can qualify if they have farming experience or receive special loans.
5The bill aims to support individuals starting their farming careers.
