The Georgia Farm Bureau is urging farmers and farm bureau members to call their congressman and urge the extension of part of the tax code known as “Section 179” that allows farmers and small business owners to deduct large purchases on their annual taxes.

Section 179 allows farmers and small business owners to deduct up to $500,000 of qualifying purchases instead of depreciating the expense over time. This provides needed tax relief and enhances cash flow for farmers to purchase necessary equipment.

If Congress fails to renew this provision before the end of the year, the deduction limit automatically defaults to only $25,000. This would place an unexpected and extremely high tax burden on purchases made in 2015.

For more information: Georgia Farm Bureau