Iowa’s agricultural economy depends on strong family farms and the next generation of farmers ready to carry on the tradition. But for many beginning farmers, the biggest challenge is getting access to land and resources. Since 2007, Iowa's Beginning Farmer Tax Credit has existed to help aspiring farmers overcome that issue, making it easier for experienced farmers and landowners to transfer assets to the next generation. But over time as circumstances changed, the Beginning Farmer Tax Credit has fallen short of achieving its intended goal.
By adapting the program for the future, Governor Reynolds will help Iowa’s farmers keep land in production, promote affordable access to land, and ensure Iowa’s agricultural workforce and economy remain strong for generations to come.
Governor Reynolds will also strengthen the farm economy by reaffirming the state’s support for biodiesel, strengthening this innovative industry to build prosperity, increase environmental sustainability, and diversify Iowa’s ag portfolio.
Governor Reynolds Proposes:
- Updating the Beginner Farmer Tax Credit to include land sales as an eligible transaction, make the credit refundable, and modify lease credits to incentivize more favorable terms for beginning farmers.
- Codifying Executive Order 5 and expanding it, stipulating that a private entity must make the same certification prior to being awarded a contract for state passenger vehicle rental or leasing.
