U.S. Sen. Roger Marshall, R-KS, and Republican members of the U.S. Senate Committee on Agriculture, Nutrition, and Forestry are calling on U.S. Secretary of Agriculture Tom Vilsack to make public a detailed explanation and any supporting economic analyses that clarifies how the Joe Biden administration’s proposed tax increases will affect farm estates.
The letter to Secretary Vilsack questions the U.S. Department of Agriculture’s analysis of Biden’s proposed changes in capital gains tax rates and the modification to stepped-up basis on America’s family farms and ranches.
The letter, which was signed by seven other Republican senators who serve on the committee, specifically asks the secretary to explain of how USDA arrived at the conclusion 98% of farm estates will not be impacted by the proposed tax changes.
“The proposed tax impacts are dependent on a number of factors, including but not limited to appreciation in farmland assets prior to a property owner's death, size of the farm operation and associated assets, income of the heirs, and the farm's ownership structure. Given these factors, we are writing to seek a detailed explanation and supporting economic analysis clarifying how these tax provisions will affect farm estates, including specifically how USDA arrived at the conclusion that fewer than 2% of farm estates will be impacted by the proposed tax changes,” the senators wrote.
Along with Sen. Marshall, the letter was signed by Ranking Member Sen. John Boozman, Arkansas; Sens. Chuck Grassley and Joe Ernst, both of Iowa; Cindy Hyde-Smith, Mississippi, Mike Braun, Indiana; Tommy Tuberville, Alabama; and John Hoeven, North Dakota.