Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   
   

Agricultural News


American Farm Bureau's Stallman Calls for Tax Changes

Tue, 08 Apr 2014 11:05:48 CDT

American Farm Bureauís Stallman Calls for Tax Changes
Farmers and ranchers need tax certainty to thrive in a modern economy, and making permanent deductions that expired in 2013 is a good first step, the American Farm Bureau Federation told the House Ways and Means Committee today.


"One of the major goals of tax reform should be to provide stable, predictable rules for businesses so that they can grow and create jobs," American Farm Bureau President Bob Stallman said. "Farm Bureau believes that Congress should end its practice of extending important business tax provisions for one or two years at a time. This practice makes it very difficult for farmers and ranchers to plan and adds immense confusion and complexity."


Stallman addressed the committee as part of a hearing addressing the economic disruption caused by the end of a series of tax deductions over the past several years. Committee Chairman Dave Camp (R-Mich.) recently introduced a discussion draft of the Tax Reform Act of 2014 in an effort to stimulate discussion of how the tax code could be simpler and fairer, while at the same time aiding economic growth, job creation and wages.


In written testimony submitted to the Committee, Stallman called for extensions of several now-expired deductions to benefit the economy as a whole, including:

--        Section 179 expensing, which allows small businesses to write off immediately capital investments of as much as $500,000 instead of depreciating them over several years;

--        Bonus depreciation, which is an additional 50 percent bonus depreciation for the purchase of new capital assets, including agricultural equipment;

--        Cellulosic Biofuel Producer Tax Credit: a $1.01 per gallon income tax credit for cellulosic biofuel sold for fuel plus an additional first-year, 50-percent bonus depreciation for cellulosic biofuel production facilities;

--        A $1.00 per-gallon tax credit for production of biodiesel and renewable diesel fuels;

--        The Community and Distributed Wind Investment Tax Credit, which gives the option to take an investment tax credit in lieu of the Production Tax Credit and

--        A provision encouraging donations of conservations casements.


Stallman reiterated the importance of Section 179's immediate expensing to farming. "Farming and ranching is a capital intensive business," he said. "In order to remain profitable and be competitive, farm equipment, buildings, and storage facilities must be continually upgraded and replaced. This provision allows agricultural producers to reduce maintenance costs, take advantage of labor-saving advances, become more energy efficient and adopt technology that is environmentally friendly.


"Smart business planning that anticipates and budgets for annual capital improvements proves challenging for farmers and ranchers because they operate on tight profit margins. The immediate expensing provided by Section 179 allows farmers and ranchers to cash flow purchases that otherwise might be delayed or incur debt expense that impact profitability."


   

 

WebReadyTM Powered by WireReady® NSI

 


Top Agricultural News

  • American Farmland Trust, Edelen Renewables and Arcadia Announce Partnership to Combat Climate Change by Advancing Smart SolarSM  Tue, 27 Sep 2022 12:02:23 CDT
  • U.S. Red Meat Industry Commemorates 45 Years in Japan  Tue, 27 Sep 2022 11:15:07 CDT
  • SHI to Advance Soil Health Training and Research in More Than 35 States as an Implementing Partner in Five USDA Climate-Smart Commodity Grants  Tue, 27 Sep 2022 09:36:28 CDT
  • Rural Economic Outlook Conference to Address Supply Chain Challenges  Tue, 27 Sep 2022 09:31:15 CDT
  • Biden-Harris Administration Makes $500 Million Available to Increase Innovative American-Made Fertilizer Production  Tue, 27 Sep 2022 09:26:16 CDT
  • Derrell Peel Believes Strong Incentives Coming for Cattle Producers Once We See Drought's End  Tue, 27 Sep 2022 08:45:17 CDT
  • Managing for Optimum Body Condition Scores with OSU's Mark Johnson  Tue, 27 Sep 2022 08:05:11 CDT
  • Oklahoma Farm Bureau Recognizes Lankford as a "Friend of Farm Bureau  Tue, 27 Sep 2022 08:01:05 CDT

  • More Headlines...

       

    Ron salutes our daily email sponsors!

    Oklahoma Beef council Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit Ag Mediation Program P&K Equipment Oklahoma City Farm Show Union Mutual Stillwater Milling Oklahoma Cattlemen's Association KIS FUTURES, INC.
       

       

    Search OklahomaFarmReport.com

    © 2008-2022 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.