Tax policy remains a top concern for farmers
June 18, 2021 By Amie Simpson Filed Under: Ag taxes, News
Many Midwestern farmers are concerned potential changes to tax policy could negatively impact their farm.
Northwest central Ohio farmer Patty Mann says she’s most concerned about the elimination of stepped-up basis and tax policy changes that could be coming.
“The stepped-up basis has been in place for over 100 years and if I were to transition my farm over to the kids, which we are getting to the age where we’re going to be looking at transition planning here soon, the stepped up basis takes the farm to the current market values, versus the value of what I purchased it for,” she says. “For instance, where we live, we bought that in 1990 so the values are a fraction of what we’re looking at today. We’re looking at the possibility for my kids to be able to buy that, if the basis were not stepped up they would probably have to sell off a portion of the farm just to be able to pay the taxes on it. It’s a very real deal and a pretty scary prospect.”
Mann is the immediate past president of the Ohio Corn and Wheat Growers Association.
Kelly Harsh, current president of the association and a Delaware County farmer, says their members are closely watching for potential changes to tax policy.
“There are a lot of different ideas being kicked around in Washington D.C. right now and so we’re watching that to make sure that any policy that comes out will help farmers continue the family farming legacy,” she says.
Brownfield spoke to Mann and Harsh during the Celebration of Ohio Corn and Wheat on Wednesday.
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