Last week, during a press conference at the Commodity Classic in Anaheim, CA, Agriculture Secretary Sonny Perdue answered a question on the 199A tax provision in the Tax Cuts and Jobs Act of 2017.
The Secretary discussed how members of the senate have plans to place a fix in the March 23 omnibus package and that that fix would be retroactive through the first of the year.
The Secretary also gave advice to those in agriculture,
“I would advise coops and members of coops to not spike the ball on this thing thinking that, because, frankly, if this provision is laid in there every farmer in America would be a member of a former coop of 1 or 2 or 3 members, and I think the American public would figure that out pretty quickly.”
He also went on to say, “We want a fair proposal that will restore the previous benefits of 199 for coop patrons, but not to put one type of business at odds or at a disadvantage to another.”