Rounds Statement on 199A Fix in Omnibus Legislation
Provision will “prevent our producers and grain operators from unintended consequences and help our ag economy flourish and grow.”
WASHINGTON – U.S. Sen. Mike Rounds (R-S.D.) today issued the following statement on the inclusion of a legislative fix to section 199A of the tax code in the omnibus:
“Cooperatives and grain operators alike provide a vital service to our farming community and contribute significantly to South Dakota’s economy,” said Rounds. “The inclusion of Section 199A in the tax law was always to maintain the status quo for the agricultural sector, not to give an unfair advantage to cooperatives over independent grain operators. I thank Senators Hoeven, Thune and others for their leadership on this issue, as we have been working with our colleagues in Congress, co-ops, independent operators and producers on a legislative fix for some time. I am pleased it was included in the omnibus package. This fix will protect our producers and grain operators from unintended consequences and help our ag economy flourish and grow.”
Text of the omnibus appropriations bill for the remainder of Fiscal Year 2018 was released last night. While Rounds and his staff continue to read and analyze the entire package, the inclusion of a fix to 199A is one of several encouraging provisions. The omnibus passed the House of Representatives earlier today, and a vote is expected in the Senate by the end of the week.
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