CONGRESS FOR VOTERS

RepublicanBill · H.R. 1112· House(119-HR-1112)

Racehorse Tax Parity Act

Rep. Barr
Age: 53 years
Kentucky
Introduced
2/7/2025
Last activity
2/7/2025 — Referred to the House Committee on Ways and Means.
Sponsored by
Andy Barr
Cosponsors
Republican - 0Democrat - 1
Taxation
  1. Introduced
  2. In Committee

What this bill would do

This bill, known as the Racehorse Tax Parity Act, seeks to amend the Internal Revenue Code of 1986. The primary goal is to reduce the holding period used to determine if horses are considered section 1231 assets to 12 months. This change involves striking the phrase ``and horses'' from subparagraph (A) of section 1231(b)(3). The amendment would apply to taxable years that begin after December 31, 2024.

Yes· 3 of 6

  • Would business owners be better off under this?+4

    The bill eases the tax burden and increases asset flexibility for business owners involved in the equine industry.

  • Would people with substantial wealth be better off under this?+4

    The bill provides tax advantages for those managing high-value equine assets by easing the requirements for section 1231 treatment.

  • Does this cut the tax on profits from selling investments?+4

    The bill reduces the holding period required for horses to qualify as section 1231 assets, which can result in more favorable tax treatment for capital gains or losses.

The opposite

No question was scored the opposite.