A proposed bill…No Capital Gains Tax on Family Farms Act (H.R. 8591) would end the tax on the sale of a farm to a “qualified family member”…spouse, lineal descendant, or spouse of a lineal descendant. The property must have been farmed for at least 2 of the last 8 years. The new owner would take over the seller’s basis. But if the farm were held for 10 years, the basis would be increased to the fair market value of the property over the basis in the hands of the qualified family member. The reason for the measure is to keep farmland out of the hands of developers by making it economically feasible (no tax) to keep it in the family. Chances of enactment??? #IdeaoftheDay
