Section 1 Short title
This Act may be cited as the “Fairness for Agricultural Machinery and Equipment Act”.
Fairness for Agricultural Machinery and Equipment Act
A BILL
To amend the Internal Revenue Code of 1986 to treat certain farming business machinery and equipment as 5-year property for purposes of depreciation.
Sec. 2 Certain farming business machinery and equipment treated as 5-year property
In general— Clause (vii) of section 168(e)(3)(B) of the Internal Revenue Code of 1986 is amended to read as follows:
“(vii) any machinery or equipment (including any grain bin, cotton ginning asset, or fence, and excluding any other land improvement) which is used in a farming business (as defined in section 263A(e)(4)) the original use of which commences with the taxpayer after the date of the enactment of the Fairness for Agricultural Machinery and Equipment Act.”
Effective date— The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.