House Republican Newsletter

Expansion of Beginning Farmer Tax Credit

     This week, we passed HF 694, also known as the Beginning Farmer Tax Credit Expansion. The goal of this bill is to expand eligibility for the Beginning Farmer Tax Credit program to reach even more owners and operators. Since its creation in 2007, the program has issued over $77 million in tax credits across the state. The program was designed to provide an Iowa tax credit incentive for agriculture asset owners to lease their land, equipment, and/or buildings to beginning farmers in order to transfer farming to the next generation.

     Currently, beginning farmers can participate in the tax credit program for 10 years and the proposed legislation will extend this cap to 15 years. The legislation also removes the $50,000 tax credit cap that landowners can receive. As the program exists, farmland must be part of the lease. If signed by the Governor, the program will allow standalone buildings, livestock facilities, and grain storage to qualify. It also allows the landowner to enter into multiple agreements with different beginning farmers. This piece of legislation has been a priority of the Governor’s and was a recommendation from the Empower Rural Iowa Initiative.

     HF 694 is now on its way to the Senate to be considered, and if passed, will head to the Governor’s Office for her signature to become law.

     If you are interested in the legislation becoming law, please contact your senator to bring HF 694 to the Senate floor for consideration.

     The program operated on a first come first serve basis. Applications are accepted until Aug. 1, or until all of the tax credit allocation has been awarded. (There is an annual $12 million cap.)

     If you are interested in applying for the Beginning Farmer Tax Credit Program, you can learn more about the qualifications at www.iowafinance.com/beginning-farming-programs/beginning-farmer-tax-cred....

Vaccine Update

     I have continued the dialogue with the Governor’s Office about proposed vaccine allocation increases in Jones County. At this time, I remain optimistic that in the upcoming weeks we will see an increase in vaccine rollout across Iowa. On Tuesday of this week, the vaccine was distributed to legislators who were eligible. While I am able to receive a vaccine here at the Capitol, I have made the decision to wait my turn back home. I believe that in the coming months, everyone in Jones County that wants a vaccine will be able to receive one.