Up before dawn, in the fields well past sundown, and a hard day’s work in between, no one says life on a farm or ranch is easy. This week, during National Agriculture Week, we celebrate these hardworking Americans who produce food, fuel, and fiber for America and the world.
Some people might not think much about where the food at the grocery store comes from, but not South Dakotans. You can’t travel far in our state without seeing some sign of South Dakota’s rich agricultural heritage. I’m grateful to the South Dakotans who are keeping up this way of life, and I’m proud to represent them in the United States Senate.
I recognize that these are challenging times for a lot of agricultural producers. The last few years have seen input costs and interest rates rise, and supply chain disruptions and natural disasters have impacted producers in our state and around the country. As always, supporting and strengthening our agriculture industry is a top priority for me.
Last year, Republicans passed the Working Families Tax Cuts, a landmark bill that not only provided tax relief but made improvements to many of the programs that farmers and ranchers depend on. It strengthened the farm safety net, reauthorized commodity programs and raised reference prices for every covered commodity, and bolstered crop insurance, especially for farmers who are just starting out. And livestock producers also benefit from this bill’s improvements to the Livestock Indemnity Program and Livestock Forage Disaster Program, as well as investments in animal disease prevention efforts.
As its name suggests, the Working Families Tax Cuts also delivered significant tax relief for farmers and ranchers. It locked in lower individual and small business tax rates permanently. Tax relief from the 199A deduction is now permanent too, as is 100 percent expensing, which allows farmers and ranchers to deduct the full cost of new equipment the year they start using it.
South Dakota farmers and ranchers dream about passing their operations on to the next generation, but the death tax can unnecessarily complicate this dream. In the Working Families Tax Cuts, Republicans raised the exemption threshold for the death tax and made that higher exemption permanent, which will prevent a lot more family farms and ranches from having to worry about a devastating tax bill when their operation passes to the next generation. And it’s not just the tax bill itself that can be costly, the estate planning can also be expensive, and exempting more farms and ranches from this tax saves them from the headaches of planning for it so can they stay focused on their operation.
I don’t know if there’s a group of people who take more pride in their work than farmers and ranchers. At times the headwinds are strong, but farmers and ranchers are stronger. I’m proud to come from a state with a rich agricultural heritage and to work to support this way of life as South Dakota’s senator.