Minnesota farmer fears some farms won’t survive proposed tax changes
A farmer in southeast Minnesota fears changes to the estate tax could have devastating impacts on family farms.
Les Anderson grows corn and soybeans near Red Wing and says farm transition planning would look a lot different if some of President Biden’s tax proposals come to fruition.
“Without the stepped-up basis and things like that there’s just no way that we can get the next generation going if we have to pay this huge amount of tax upon transferring (the farm) to the next generation.”
President Biden has indicated there will be provisions in his American Families Plan that protect family farms as long as heirs continue to operate the business.
“One thing we don’t want to see is a huge, like a tax lien that goes with the farm. They talk (about) no one can tax until it was sold, but at some point it does (get sold). But I don’t know, there’s a lot of work that has to be done on it. And ideally we’d be able to keep it the way it is.”
Anderson also works as an ag liaison for Minnesota Congresswoman Angie Craig. He tells Brownfield Craig is aware of how important stepped-up basis is to multi-generational farm families and wants to ensure the next generation can keep farming.