Modernizing Agricultural and Manufacturing Bonds Act

This bill changes federal tax rules for tax-exempt bonds that help pay for small manufacturing projects and loans to first-time farmers. It expands the definition of a manufacturing facility to include places that create certain intangible property and related facilities on the same site. It raises the size limit for small manufacturing bond issues from $10 million to $30 million and the total limit per taxpayer from $40 million to $120 million, with yearly inflation adjustments. For first-time farmers, it raises the bond-financed loan limit from $450,000 to $1,000,000, removes the separate lower limit for used farm equipment, and measures farmland size using average rather than median farm size.

Full text and official record on Congress.gov

Sponsors

• Joni Ernst Republican sponsor
• 2 cosponsors