Grainnet

Ag Retailers Association Commends Senate Finance Committee for Ag Business Security Tax Credit in Heartland, Habitat, Harvest and Horticulture Act of 2007

Washington, DC--The Agricultural Retailers Association (ARA) commends the Senate Finance Committee, chaired by Sen. Max Baucus (D-MT), for including the Agricultural Business Security Tax Credit in the Heartland, Habitat, Harvest, and Horticulture Act of 2007 passed on Oct. 4.

ARA worked with Sen. Pat Roberts (R-KS), a committee member, to sponsor this important amendment included in a final finance bill.

Present law does not provide a credit for agricultural business security.

This proposal will allow a retailer of agricultural products and chemicals or a manufacturer, formulator, or distributor of certain pesticides a business tax credit for 30 percent of costs for the protection of such chemicals or pesticides, including employee security training and background checks, installation of security equipment, and computer network safeguards.

The proposal in the modification to the Chairman's mark sets a $2 million annual limit on such credit and a per facility limitation of $100,000 (reduced by credits received for the five prior taxable years).

The cost is $14 million over ten years.

"With the issuance of new Department of Homeland Security regulations and the importance of securing agricultural fertilizers and pesticides storage facilities, this much-needed tax credit will assist our industry with implementation costs to improve security," said Jack Eberspacher, ARA president and CEO.

"ARA is working with a broad coalition, including the National Agricultural Aviation Association, CropLife America, Chemical Producers and Distributors, The Fertilizer Institute and state and regional associations, such as Montana, Kansas, Nebraska, Far West, Michigan, New York and Iowa; to secure passage by contacting key committee members from their respective states."

For more information, please contact Richard Gupton at Richard@aradc.org. For more information, call Stacy Mayuga at 202-457-0825, ext. 18.