Agriculture tax advisory firm KCoe Isom welcomed the proposed tax package that would drop previously suggested changes to the "step-up" in basis.
While the legislation is far from the finish line and the proposal is far from final, KCoe's tax advisors noted that the proposed language includes changes that could significantly impact many farmers and ranchers.
The firm says farmers and ranchers need to evaluate and address potential tax impacts before year-end. Other changes in the proposed tax bill, including accelerating the reversion of prior estate tax rates and estate tax exemptions, will have the potential to affect farmers without adjustments.
According to KCoe's tax advisors, there are opportunities to avoid some anticipated negative effects with proper year-end planning. A spokesperson for the firm states, "Every farmer and other agriculture business owner should be talking with their tax advisors and legal counsel today to evaluate the proposed changes in this bill."