119-hres206

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H. Res. 206 Introduced in House

    (IH) ]

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119th CONGRESS
 1st Session
H. RES. 206

 Recognizing the importance of stepped-up basis under 

section 1014 of 
the Internal Revenue Code of 1986 in preserving family-owned farms and 
 small businesses.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 March 10, 2025

Mr. Mann (for himself, Mr. Costa, Mr. Panetta, Ms. Craig, Mr. Smith of 
 Nebraska, Mr. Finstad, Mr. Feenstra, Mr. Meuser, Mr. Latta, Mr. 
 Fulcher, Mrs. Wagner, Ms. Tenney, Mr. Newhouse, Mr. Fleischmann, Mr. 
Alford, Mr. Moolenaar, Mr. Graves, Mr. Lucas, Mr. Self, Mr. Guest, Mr. 
Schmidt, Mrs. Miller of Illinois, Mr. Rose, Mr. Cole, and Mr. Moore of 
Alabama) submitted the following resolution; which was referred to the 
 Committee on Ways and Means

_______________________________________________________________________

 RESOLUTION

 Recognizing the importance of stepped-up basis under 

section 1014 of 
the Internal Revenue Code of 1986 in preserving family-owned farms and 
 small businesses.

Whereas the stepped-up basis under 

section 1014 of the Internal Revenue Code of 
 1986 allows recipients of inherited assets such as land, equipment, or 
 buildings to adjust the cost basis of the asset to reflect its fair 
 market value;
Whereas 98 percent of farms are family-owned according to the Department of 
 Agriculture, and 19 percent of all businesses are family-owned according 
 to the Small Business Administration;
Whereas a study conducted by the Economic Research Service of the Department of 
 Agriculture determined that 66 percent of all midsized farms would see 
 an increased tax liability if the stepped-up basis were eliminated;
Whereas the stepped-up basis is a crucial component of many family farms and 
 small business succession plans; and
Whereas the elimination of the stepped-up basis would threaten the ability of 
 farmers, ranchers, agribusinesses, and small business owners to make 
 generational transfers of their operations: Now, therefore, be it
 Resolved, That the House of Representatives--

    (1) supports the preservation of the stepped-up basis;

    (2) opposes any efforts to impose new taxes on family farms 
 or small businesses; and

    (3) recognizes the importance of generational transfers of 
 farm and family-owned business operations.
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