Effect of Tax Changes on Family Farms Analyzed in ERS Report

USDA Economic Research Service (ERS) published An Analysis of the Effect of Sunsetting Tax Provisions for Family Farm Households. This report concluded that the expiring provisions of the 2017 Tax Cuts and Jobs Act and the American Rescue Plan Act will mean increased taxes for most farm households. This report also includes analysis of which farms are most likely to be affected by the expiring provisions, and notes that the largest percentage increases caused by expiring provisions would occur for farm households with moderate sales. Changes to estate tax provisions will result in more farms owing federal estate taxes, with the largest increase being in the number of female-operated farms owing estate tax. Both the complete report and a summary are available online.