By Andi Anderson
Farmers in Illinois continue to support changes that could protect family farms and strengthen rural communities. One major issue is the state estate tax exemption for farm families.
The current limit is $4 million, and farmers want it to increase to $6 million to reflect inflation. Farm leaders say the present limit can create serious financial pressure for families when land is passed to the next generation.
Darren Davis president of the McLean County Farm Bureau explained the impact clearly. “It would have a tremendous effect on the heirs to the estates of farm families,” Davis said in an interview on WGLT’s Sound Ideas. He added “A lot of times, when a father or mother passes away and the children inherit the farm, they end up with a pretty big tax bill from the estate tax if it’s over $4 million and [they] can’t afford that.”
When taxes are too high some families are forced to sell land or take loans. Davis warned “It doesn’t stay local; it doesn’t stay with the family and in farming, family is kind of the deal,” and added “It’s very important, and we’ve had farms that are centennial farms that have been in families for hundreds of years, and you hate to see it move onto somebody out of state like that.”
Another key issue is year-round approval of E15 ethanol fuel. Farmers believe this policy could raise corn demand and improve profits. Davis said “There’s some people that say that if we had year-round E15, it might use an extra 2 billion bushels of corn with our current carry-out for [the] 25/26 crop,” and added this “would have a tremendous effect on our bottom line and our ability to be profitable.”
On fuel costs and emissions Davis explained “I mean, that all depends on obviously the price of corn at the time, but I’ve heard people say 20 to 30 cents a gallon of savings,” and noted environmental and job benefits.
Farmers are also watching weather conditions closely as dry conditions remain in parts of the county. Beyond policy and weather, the farm bureau supports education by funding a new museum exhibit and improving county fairgrounds. “Any way that we can promote ag and ag products and where your food comes from to the entire community, that helps,” Davis said.
Photo Credit: illinois-farm-bureau
Categories: Illinois, Energy, Rural Lifestyle