Potential tax policy changes could damage family farms
The potential loss of stepped-up basis could devastate family farms.
Southeastern South Dakota farmer Kevin Scott is hoping to pass his farm on to the next generation.
“Once I pass, if my son has to sell part of that factory just to pay the taxes, what does that do for his kids and future,” he says. “Part of the factory would be gone and that doesn’t sound like good business practice to us and we’re going to fight that pretty hard.”
Audio: Kevin Scott
Scott serves as president of the American Soybean Association. He says the infrastructure package has implications for tax policy.
Northeast Arkansas farmer Brad Doyle says the removal of stepped-up basis would burden farmers.
“We don’t want to sell land to inherit land—that would be a restraint from continuing to farm,” he says. “It’s an investment overtime. Generations of investment in an operation and for the simple tax law to change over night it would break up many family farms.”
Audio: Brad Doyle
Doyle, vice president of ASA, says the organization is working to inform lawmakers about the importance of protecting farm transitions.
Brownfield interviewed Scott and Doyle at the today at the Farm Progress Show. The American Soybean Association represents 30 soybean-producing states and more than 500,000 U.S. soybean farmers.