Time Running Short for Congress to Renew Expired Tax Provisions

 

Congress went on the Thanksgiving recess without an agreement on extending expired tax provisions.  Farm Bureau tax advisor Pat Wolff says there are 50 tax provisions that expired at the end of last year that have not been addressed…

“Congress has been talking about them since January first, and it’s now almost December, and they still haven’t resolved which of those 50 provisions will stay on the books.  There are two that are very important to farmers and ranchers, they are Section 179, Small Business Expensing, and Bonus Depreciation.”

A coalition of agriculture groups including the American Farm Bureau sent a letter to lawmakers last week urging them to act on section 179 small business expensing and bonus depreciation. There is legislation being considered in both chambers to extend the two provisions. Wolff says farmers and ranchers need Congress to pass permanent rules rather than temporary extensions…

“Congress has a decision; they can either put provisions on the books and make them permanent so that farmers and ranchers know  whether or not they can take a tax deduction when they buy a piece of equipment.  Or they can do what they did last year and put something temporary on the books like they did last year, that keeps everyone wondering.”

Wolff says time is limited as Congress will be in session for only 11 days in December…

“There is a danger that if congress gets wrapped up in other matters that they just won’t get around to this.  And every farmer and rancher that cares about being able to deduct the cost of a piece of equipment needs to call Washington  and tell their representatives and senators to get this done and to make it permanent, and to do it now, rather than later.”
American Farm Bureau’s tax advisor Pat Wolff.


rgarrison@curtismedia.com'

A native of the Texas Panhandle, Rhonda was born and raised on a cotton farm where she saw cotton farming evolve from ditch irrigation to center pivot irrigation and harvest trailers to modules. After graduating from Texas Tech University, she got her start in radio with KGNC News Talk 710 in Amarillo, Texas.