The stepped-up basis is a term that we have been hearing about a lot since President Biden took office. The President had made it clear that he wanted to end the benefit in the Capital Gains tax codes. Many farmers are concerned with how this would affect their ability to pass their family legacy on to the next generation. President Biden introduced his plan to do away with the stepped-up basis as a means to help pay for his infrastructure plan.
Audio: Full interview with Iowa Congresswoman Cindy Axne
Last month, Congresswoman Cindy Axne (D-IA 3rd) went on a listening tour in her district to hear the concerns of farmers. No matter what kind of farm she visited, Axne heard the same concerns about farmers being penalized for years of hard work. They were concerned with the possibility that changes to the tax code would destroy their family farm for the next generation. To this end, Axne joined with several other Democrats in sending a letter to Congressional leadership on Thursday. In it, they asked for there to be exemptions for family farmers and small business owners.
In an interview with Iowa Agribusiness Radio Network, soon after the letter was sent, Axne said that while infrastructure is sorely in need of an upgrade, it is unfair for the burden to be put on the backs of Iowa farmers and other hardworking Americans. It is about making the extremely wealthy pay their fair share.
Axne talks about the letter that was sent to the leadership. Her colleagues joined her in asking for the Administration and Congress to exempt family farms and small businesses.
Axne says that leadership in the House and Senate will take notice of this letter and its concerns because, without these thirteen Democratic lawmakers, the bill goes nowhere. This plan has the support of President Biden and Agriculture Secretary Tom Vilsack.
Axne says she expects to see this plan gather more support as people who have built small businesses around the country are just as worried as the American farmer. She says they will be working with ?strange bedfellows.?
Axne said the goal is to keep Iowa land in the hands of Iowa farmers and to see support for small business owners who are putting everything they have into their livelihood.
