The House passed legislation Friday by a vote of 258 to 160 to make the 50-percent bonus depreciation of new capital purchases permanent. This allows businesses to depreciate 50-percent of the cost of purchasing new equipment in the first year – plus the percentage of the remaining bases in the equipment that would ordinarily be depreciable under the Modified Accelerated Cost Recovery System. National Cattlemen’s Beef Association President Bob McCan says NCBA strongly supports the permanent extension because it will help provide farmers and ranchers with predictable pro-growth tax code that allows them to make long-term investments in their businesses.
McCan says bonus depreciation coupled with Section 179 business expensing are effective tools allowing farmers and ranchers to make the necessary investments needed to remain competitive in the global marketplace and create jobs in America.