Bills › 88th General Assembly
Excluding from the computation of net income for state individual income tax purposes the net capital gain from sales of agricultural property located within certain cities to a housing developer, and including effective date and retroactive applicability provisions
Where it is now
- Done: IntroducedFebruary 12, 2020
- Done: SubcommitteeFebruary 19, 2020
- Stopped: House committeeDied when the General Assembly ended
- Next: Passes the House
- Next: Senate committee
- Next: Passes the Senate
- Next: To the Governor
- Next: Signed into law
Died when the session ended The 2020 session adjourned on June 14, 2020, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?
What’s in it
AI summary People who sell farmland to housing developers in small towns could pay less in state income tax. This rule applies if the property is used for farming and is located within a city that has fewer than 6,000 people. The state's revenue department will create the specific rules to manage this change.1
Read the official explanation
This bill excludes from the computation of net income for state individual income tax purposes the net capital gain from sales of agricultural property located within certain cities to a housing developer. The bill excludes the net capital gain on the sale of real property used in a farming business when the property is located within the city limits of an incorporated city that has a population of less than 6,000 residents based on the most recent federal decennial census, and the property is sold to a housing developer. The bill defines “housing developer” and “real property used in a farming business”. The department of revenue is required to adopt rules pursuant to Code chapter 17A to administer the bill. The bill takes effect upon enactment and applies retroactively to tax years beginning on or after January 1, 2020.
House subcommittee
Named February 19, 2020. It hasn’t reported yet.
Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part