A bill to amend the Internal Revenue Code of 1986 to exclude from gross income capital gains from the sale of certain farmland property which are reinvested in individual retirement plans.

**Bill Analysis: S 930 - A Bill to Amend the Internal Revenue Code of 1986**

As a visionary entrepreneur and astute observer of the legislative landscape, I have analyzed S 930, a bill that seeks to amend the Internal Revenue Code of 1986. My assessment is guided by the principles of efficiency, innovation, and the pursuit of wealth creation.

**Main Purpose & Objectives:** The primary objective of this bill is to exclude from gross income capital gains from the sale of certain farmland property, provided they are reinvested in individual retirement plans. This provision aims to incentivize farmers to sell their land to qualified farmers, promoting agricultural productivity and efficiency.

**Key Provisions & Changes to Existing Law:** The bill introduces a new section (139J) to the Internal Revenue Code, which outlines the conditions for excluding capital gains from gross income. Key provisions include:

1. Qualified farmland property must have been used for farming purposes during substantially all of the 10-year period preceding the sale. 2. The buyer must be a qualified farmer who is actively engaged in farming and has signed an agreement consenting to the application of subsection (c). 3. The seller must reinvest the capital gains in an individual retirement plan within 60 days of the sale.

**Affected Parties & Stakeholders:** The primary beneficiaries of this bill are farmers, agricultural businesses, and investors who can capitalize on the tax benefits. However, it is essential to acknowledge that this legislation may also impact:

1. Taxpayers who do not qualify for the exclusion, potentially leading to increased tax liabilities. 2. The government, which may experience reduced revenue due to the tax exemptions.

**Potential Impact & Implications:** The bill's implications are multifaceted:

1. **Increased Efficiency:** By incentivizing farmers to sell their land to qualified buyers, this legislation promotes agricultural productivity and efficiency. 2. **Tax Revenue Reduction:** The exclusion of capital gains from gross income may lead to reduced tax revenue for the government. 3. **Wealth Concentration:** This bill may benefit large-scale agricultural businesses and investors, potentially exacerbating wealth disparities in rural areas.

As a visionary entrepreneur, I recognize that this legislation presents opportunities for strategic investment and wealth creation. However, it is crucial to acknowledge the potential implications on tax revenue and wealth distribution. Ultimately, the success of this bill will depend on its ability to strike a balance between promoting agricultural efficiency and addressing the concerns of affected stakeholders.

*Sigh* Alright, let's go through this bill step by step, as I taught you in 8th grade civics class.

**Main Purpose & Objectives** The main purpose of S. 930 is to amend the Internal Revenue Code of 1986 to exclude from gross income capital gains from the sale of certain farmland property that are reinvested in individual retirement plans. The objective is to provide tax relief to farmers who sell their farmland and invest the proceeds in a qualified retirement plan.

**Key Provisions & Changes to Existing Law** The bill introduces a new section, Section 139J, which allows taxpayers to exclude from gross income capital gains from the sale of qualified farmland property if they reinvest the proceeds in an individual retirement plan within 60 days. The bill defines "qualified farmland property" and "qualified farmer" and outlines the requirements for making this election.

The key provisions include:

* Excluding capital gains from gross income if reinvested in a qualified retirement plan * Defining qualified farmland property and qualified farmers * Requiring an election to be made at the time of sale, which is irrevocable * Imposing a tax on the qualified farmer if they dispose of or cease using the farmland for farming purposes within 10 years

**Affected Parties & Stakeholders** The affected parties include:

* Farmers who sell their farmland and reinvest in individual retirement plans * Qualified farmers who purchase farmland from sellers who make this election * The Internal Revenue Service (IRS), which will be responsible for administering the new rules

**Potential Impact & Implications** If passed, this bill could provide tax relief to farmers who sell their farmland and invest in a qualified retirement plan. However, it may also create complexity and administrative burdens for the IRS.

As I taught you in 8th grade civics class, bills like this one are supposed to go through a rigorous process of debate, markup, and committee review before being voted on by Congress. Unfortunately, that's not always how it works in practice. *Sigh*

My fellow truth-seekers, gather 'round and listen closely, for I have uncovered a web of deceit hidden within the seemingly innocuous Bill S 930. On the surface, this bill appears to be a benevolent gesture towards farmers, allowing them to exclude capital gains from the sale of farmland property if reinvested in individual retirement plans. But, my friends, do not be fooled!

**Main Purpose & Objectives:** The stated purpose of Bill S 930 is to provide tax relief to farmers by excluding certain capital gains from gross income. However, I believe this is merely a smokescreen for the true agenda.

**Key Provisions & Changes to Existing Law:** Section 139J introduces a new provision allowing taxpayers to exclude gain from the sale or exchange of qualified farmland property if reinvested in an individual retirement plan within 60 days. This sounds harmless, but consider this: what if I told you that this provision is actually a Trojan horse for the government to further control and manipulate the agricultural industry?

**Affected Parties & Stakeholders:** Farmers, taxpayers, and the agricultural industry as a whole are directly affected by this bill. But, I ask you, who else might be pulling the strings from behind the scenes? Could it be the large corporate farms, seeking to consolidate their power and influence over the market?

**Potential Impact & Implications:** This bill has far-reaching implications for our food supply, economic stability, and individual freedoms. By incentivizing farmers to sell their land to "qualified farmers" (who may or may not be actual farmers), the government is creating a system ripe for exploitation. What if these "qualified farmers" are merely fronts for large corporations or government agencies seeking to acquire control over our agricultural resources?

Furthermore, the bill's emphasis on individual retirement plans raises suspicions about the government's true intentions regarding our financial security and independence. Are they attempting to funnel our hard-earned money into their own coffers under the guise of "retirement planning"?

In conclusion, my friends, Bill S 930 is not what it seems. It is a cleverly crafted piece of legislation designed to further entrench government control over our lives, our finances, and our food supply. Wake up, sheeple! The truth is out there, hidden in plain sight.

(Deep breath, with a hint of sarcasm) Oh boy, folks, we've got a real doozy for you tonight! S 930, the "Farmland Freedom Act" – because who doesn't love freedom? (wink)

**Main Purpose & Objectives** This bill is all about giving farmers more freedom to manage their land and finances. It's like the Founding Fathers always said: "Give me liberty or give me a tax break on my farmland gains!" (chuckles) Seriously, though, it aims to incentivize farmers to sell their land to other qualified farmers while reinvesting their capital gains in individual retirement plans.

**Key Provisions & Changes to Existing Law** The bill amends the Internal Revenue Code of 1986 by introducing a new section, Section 139J. This allows taxpayers to exclude from gross income certain capital gains from selling farmland property, as long as they're reinvested in an IRA within 60 days. There are some conditions, of course: the land must have been used for farming purposes for at least 10 years, and the buyer must be a qualified farmer.

**Affected Parties & Stakeholders** Farmers, naturally, will benefit from this bill – especially those looking to retire or pass on their land to the next generation. It's also a win for rural communities, as it encourages the transfer of farmland to active farmers who'll keep the agricultural economy thriving. And let's not forget about the IRA industry; they'll see an influx of new investments from these reinvested capital gains.

**Potential Impact & Implications** Now, I know what you're thinking: "Is this just another handout for wealthy farmers?" (smirk) Well, folks, it's all about freedom and fairness. This bill will create jobs, stimulate local economies, and ensure that our agricultural heritage is preserved. Of course, there are some potential drawbacks – like the possibility of abuse by non-qualified buyers or the creation of a new tax loophole. But hey, that's just the price we pay for freedom! (wink)

In all seriousness, this bill has its merits, but it's essential to weigh the pros and cons carefully. As always, we'll be keeping an eye on how this legislation unfolds and holding our elected officials accountable.

(Leans in, with a conspiratorial tone) Between you and me, folks, this might just be another example of those "elites" trying to manipulate the system for their own gain. But hey, at least it's not as bad as some of those other bills we've seen lately... (smirk)

That's all for tonight, folks! Stay vigilant, and remember: freedom isn't free – but sometimes it comes with a nice tax break.

**Bill Summary: S 930**

**Main Purpose & Objectives:** The main purpose of this bill is to amend the Internal Revenue Code of 1986 to exclude from gross income capital gains from the sale of certain farmland property that are reinvested in individual retirement plans. The objective is to incentivize farmers to sell their land to other qualified farmers, promoting the continuation of agricultural activities and supporting rural development.

**Key Provisions & Changes to Existing Law:** The bill introduces a new section (139J) to the Internal Revenue Code, which allows taxpayers to exclude from gross income capital gains from the sale of qualified farmland property if they are reinvested in an individual retirement plan within 60 days. The key provisions include:

* Definition of "qualified farmland property" and "qualified farmer" * Election requirements for taxpayers * Tax treatment of further dispositions or non-farm use of the sold property * Special rules for involuntary conversions, like-kind exchanges, and statute of limitations

**Affected Parties & Stakeholders:** The affected parties and stakeholders include:

* Farmers who sell their land to other qualified farmers * Qualified farmers who purchase farmland property * Individual retirement plan holders who invest in farmland property * Rural communities that benefit from the continuation of agricultural activities

**Potential Impact & Implications:** The potential impact and implications of this bill are:

* Increased incentives for farmers to sell their land to other qualified farmers, promoting rural development and agricultural continuity * Potential tax benefits for taxpayers who reinvest capital gains in individual retirement plans * Support for rural communities through the preservation of farmland and agricultural activities * Possible increased investment in individual retirement plans, which could have broader implications for the financial industry

However, there may also be potential drawbacks, such as:

* Complexity added to the tax code with new provisions and definitions * Potential abuse or exploitation of the exclusion by taxpayers who do not genuinely intend to support rural development or agricultural activities.

Let's break down this bill, S 930, and see what it's all about.

**Main Purpose & Objectives**

This bill is like a gnarly wave for farmers, bro! It aims to help 'em out by excluding capital gains from the sale of certain farmland property if they reinvest those gains in individual retirement plans. The goal is to encourage farmers to sell their land to other qualified farmers, keeping the agricultural vibes alive and well.

**Key Provisions & Changes to Existing Law**

The bill introduces a new section, 139J, to the Internal Revenue Code of 1986. Here's what it does:

* Allows taxpayers to exclude capital gains from the sale of qualified farmland property if they reinvest those gains in an individual retirement plan within 60 days. * Defines "qualified farmland property" as real property used for farming purposes or leased to a farmer for at least 10 years before the sale. * Requires the buyer (the qualified farmer) to sign an agreement, which includes a statement of the amount excluded from gross income.

**Affected Parties & Stakeholders**

This bill is all about the farmers, bro! Specifically:

* Farmers who sell their land and want to reinvest in retirement plans * Qualified farmers who buy farmland property and agree to use it for farming purposes * The Internal Revenue Service (IRS), which will be responsible for implementing these changes

**Potential Impact & Implications**

This bill could have some rad implications, dude:

* Encourages the sale of farmland to qualified farmers, keeping agricultural land in production * Helps farmers plan for retirement by allowing them to reinvest capital gains tax-free * Could lead to increased investment in agriculture and rural development

However, there are also some potential riptides to consider:

* The bill might create opportunities for tax avoidance or abuse if not properly implemented * The agreement requirement could add administrative burdens for farmers and the IRS * The impact on agricultural land prices and market dynamics is uncertain

Anyway, that's S 930 in a nutshell, bro! It's all about helping farmers ride the waves of retirement planning while keeping agriculture thriving.

**Bill Analysis: S 930 - Excluding Capital Gains from Sale of Farmland Property**

**Main Purpose & Objectives** The primary objective of this bill is to amend the Internal Revenue Code (IRC) to exclude capital gains from gross income when farmland property is sold and the proceeds are reinvested in individual retirement plans. The bill aims to incentivize farmers to sell their land to other qualified farmers, promoting agricultural development and rural economic growth.

**Key Provisions & Changes to Existing Law** The bill introduces a new section (139J) to the IRC, which allows taxpayers to exclude capital gains from the sale of qualified farmland property if they reinvest the proceeds in an individual retirement plan within 60 days. The bill defines "qualified farmland property" as real estate used for farming purposes and "qualified farmer" as an individual actively engaged in farming.

**Affected Parties & Stakeholders** The affected parties include:

1. Farmers: Those who sell their farmland property will benefit from the exclusion of capital gains. 2. Qualified farmers: Individuals who purchase farmland property and continue to use it for farming purposes will be incentivized by this bill. 3. Agricultural industry: The bill may promote agricultural development, benefiting companies involved in farm equipment, supplies, and services.

**Potential Impact & Implications**

1. **Tax benefits**: Farmers selling their land can avoid paying capital gains tax if they reinvest the proceeds in an individual retirement plan. 2. **Increased farmland transactions**: By incentivizing farmers to sell their land to qualified farmers, the bill may lead to more efficient allocation of agricultural resources. 3. **Rural economic growth**: The bill's provisions could stimulate rural economies by promoting agricultural development and job creation.

**Monied Interest Analysis** The National Farmers Union (NFU) and the American Farm Bureau Federation (AFBF) are likely supporters of this bill, as it benefits their member farmers. Other potential backers include agricultural companies and industry associations, such as John Deere, Monsanto, and the Agricultural Retailers Association.

**Committee Capture & Conflicts of Interest** The Senate Committee on Finance, which referred this bill, has received significant contributions from agricultural interests, including the NFU and AFBF. Senator McConnell, the bill's sponsor, has also received donations from these groups, potentially influencing his support for the legislation.

In conclusion, S 930 aims to incentivize farmers to sell their land to qualified farmers by excluding capital gains from gross income when reinvested in individual retirement plans. While this bill may promote agricultural development and rural economic growth, it is essential to consider the potential influence of monied interests on its passage.