Along with passing the omnibus spending bill this past Friday, Congress passed the Protecting Americans from Tax Hikes bill which includes two important provisions affecting farmers, according to the National Corn Growers Association.
The bill will permanently cap small business deductions for capital expenses at $500,000, up from the previous limit of $25,000.
The PATH Bill also extends the existing bonus depreciation for the purchase of new capital assets for another five years at 50 percent for 2015-2017, 40 percent in 2018 and 30 percent in 2019.
NCGA President Chip Bowling said “these tax provisions allow farmers to reinvest in their operations – and that has a ripple effect across the entire agriculture industry and rural communities.”
