The budget reconciliation bill moving through the House increases reference prices and farm program payment limits. It allows farmers to add base acres for ARC and PLC programs. The coverage for Dairy Margin Coverage expands and doubles the money for trade promotion programs. The tax provisions include 100 percent bonus depreciation, an increase in the Section 199A deduction and changes in estate taxes. The deduction impacting farm cooperatives remains. The 45Z tax credit for biofuels also gets an extension. The bill also makes cuts to the Supplemental Nutrition Assistance Program and shifts a portion of the SNAP costs to the states.
