Bills · S 930
IN COMMITTEE· 119TH CONGRESS
Senate BillS 930Taxation
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.
INTRO MAR 11· LAST ACTION MAR 11
READING
6MIN
COSPONSORS
4
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed Senate
Passed House
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters to voters because it aims to support the agricultural sector and encourage the preservation of farmland. By offering a tax incentive, it could make it easier for retiring farmers or families to sell their land to new generations of farmers, rather than seeing it converted for non-agricultural uses like housing developments. This could help maintain the supply of domestically grown food and support rural economies.
If this bill becomes law, it could provide a significant financial boost to farmers retiring from the profession, allowing them to save more for retirement without immediate capital gains taxes. Conversely, if it doesn't pass, sellers of farmland would continue to face capital gains taxes, which might disincentivize sales to active farmers or encourage sales to developers who can offer higher prices due to fewer tax implications for the seller.
KEY PROVISIONS
4AI-extractedPROVISION 01
Excludes capital gains from gross income for the sale of qualified farmland property to a qualified farmer, if reinvested in an individual retirement plan within 60 days.
This provides a significant tax benefit, allowing sellers to avoid immediate taxation on profits from farmland sales when investing in retirement.
PROVISION 02
Increases the individual retirement plan (IRA) contribution limit for the year to match the amount of excluded capital gain from the farmland sale.
This makes the tax exclusion practical by allowing the full amount of the large capital gain to be placed into a retirement account, bypassing standard annual contribution caps.
PROVISION 03
Establishes a 10-year recapture tax for the qualified farmer (buyer) if the farmland is disposed of or ceases to be used for farming purposes.
This provision ensures the land remains in agricultural use for a significant period, aligning with the bill's intent to support farming and preventing quick flips for non-farm development.
PROVISION 04
Defines 'qualified farmland property' as real property used for farming by the taxpayer or leased to a farmer for substantially all of the 10-year period before sale.
This clarifies which specific types of farmland sales are eligible for the tax benefit, ensuring it targets genuine agricultural land.
SPONSORSHIP
1 + 4
R· Kentucky
YRS IN OFFICE
41
BILLS LED
14
COSPONSOR BREAKDOWNBIPARTISAN · 0%
DEM 0 REP 4 IND 0
ACTION TIMELINE
2 EVENTSMAR 11
Introduced in Senate
MAR 11
Read twice and referred to the Committee on Finance.
BILL INFO
TypeSenate Bill
NumberS 930
Congress119th
StatusIn Committee
IntroducedMar 11, 2025
Last actionMar 11, 2025
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IN COMMITTEE· 119TH CONGRESS · FINANCE COMMITTEE · INTRODUCED MAR 11, 2025
Senate BillS 930Taxation
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.
INTRODUCED MAR 11, 2025· LAST ACTION MAR 11, 2025
PASSAGE CHANCES
—%
READING
6 min
COSPONSORS
4
COMPLEXITY
Moderate
