On Wednesday, Congressman Jake Ellzey (TX-06) joined 28 of his colleagues in sending a letter to President Biden expressing concerns with provisions in the President's Fiscal Year 2023 budget that threaten the stepped-up tax basis and impose 'marked-to-market' capital gains taxes on property such as farmland that has been held in families for 90 years or more. Among the cosigners Ellzey joins, Representative Mann, House Agriculture Committee Republican Leader Glenn "GT" Thompson (PA-15), and U.S. Representative Adrian Smith (NE-03), Ranking Member on House Ways and Means Subcommittee on Trade.

Beginning in 2030, President Biden's 'marked-to-market' proposal would tax the unrealized gains of generational farm assets and inflict hundreds of thousands of dollars in new capital gains taxes on American farmers and ranchers, jeopardizing the future of family-owned agricultural operations.

The letter reads, "We write to express our concerns with this provision of your tax plan, which would be devastating to generational farmers, ranchers, and other business owners. Agriculture is a multi-generational calling, with many producers operating on the same land as their parents and grandparents did decades before. These farmers and ranchers operate under tight margins in a capital-intensive industry."

"The Ag industry is the backbone of a healthy and prosperous nation," said Ellzey. "Over the past couple of years, our farmers have faced unprecedented obstacles. The last thing they need is a burdensome tax plan that hinders their ability to make a profit. I thank Representative Mann, Ranking Member Thompson, and Ranking Member Smith for leading the way with this letter."

Click here to view the full letter.