House Democrats today dropped all proposals for changes to stepped-up basis in their package of tax hikes on corporations and the wealthy in their reconciliation spending bill. The issue is hugely important in farm country – and lawmakers on both sides of the aisle – who say it would have devastated farms.
In an interview with Brownfield, just before the news it would be eliminated, Ag Secretary Vilsack told Brownfield 98% of farms would not have been impacted, “Because either the farm is going to be owned and operated by a family member going forward OR if a portion of the farm is being sold, it’s being sold at a gain that’s less than the exemptions that are currently in the bill.”
Vilsack admitted the issue is complicated and there is a lot of misunderstanding about it.
