Peterson tells the Hagstrom Report that he supports lowering corporate tax rates but not at the expense of raising taxes on individuals. He also supports raising the exemption on the estate tax but not eliminating it. He wants the provision allowing co-ops to pass along production and marketing cost tax breaks to their members to continue.
The current House and Senate bills both eliminate the provision, known as Section 199. “Co-ops don’t pay income taxes and therefore, if this is taken out, the co-ops get nothing from this bill,” Peterson says. “Also, the provisions to eliminate or reduce the deduction for the state and local taxes are a problem and I’ve heard about it from my constituents.” He’s in favor of eliminating the individual insurance mandate under the Affordable Care Act but says that cutting it out will make passing a tax bill that much more difficult.
The White House has said the Trump administration understands that particular provision may have to be taken out of the legislation to pass the bill.
From the National Association of Farm Broadcasting News Service.