Farm Bureau, Others Seek to Keep Current tax Structure
Washington--The American Farm Bureau Federation and 29 other industry groups whose members file their tax returns as individuals is calling on Congress to keep the current income tax structure in place after it is set to expire Dec. 31.
The Obama administration has called for top rates to rise on income above $200,000 a year for individuals and $250,000 for couples, which represents a tax increase of about $40 billion next year relative to where rates are now. It is estimated that the higher tax rate would impact roughly half of business- and farm-related income on individual tax returns.
“The majority of businesses in this country are organized as pass-through entities, meaning they pay taxes at the individual rate and will be subject to these increases,” according to the group’s letter to Congress. Groups joining Farm Bureau in signing the letter include the National Association of Manufacturers, the U.S. Chamber of Commerce and others representing businesses as diverse as funeral directors and air-conditioning contractors.