Bill · H.R. 701· House(119-HR-701)
REDUCE Food Prices Act
- Introduced
- 1/23/2025
- Last activity
- 1/23/2025 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Mikie Sherrill
- Cosponsors
- - 2 - 0
- Introduced
- In Committee
What this bill would do
This bill, known as the "REDUCE Food Prices Act," seeks to amend the Internal Revenue Code of 1986 to provide various tax incentives. These incentives target the establishment and operation of small food retail businesses. The goal is to support these businesses specifically in areas characterized by high food retail concentration and low levels of competition. The bill increases various tax credits, depreciation rates, and deductions for these specific businesses.
Yes· 3 of 8
Does this make it easier to run a small business?+8
The bill provides significant tax relief through increased rehabilitation credits, bonus depreciation, and a new investment credit for small food retailers.
Would business owners be better off under this?+8
Small food retail business owners receive increased tax credits, higher depreciation rates, and a new investment credit.
Does this cut taxes for small businesses?+7
The bill increases various tax credits, depreciation rates, and deductions specifically for small food retail businesses.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
-
Increased Rehabilitation Tax Credit: Under Section 2, the bill increases the rehabilitation tax credit from 20 percent to 25 percent for qualified rehabilitated buildings used by a qualified small food retail business. This provides a benefit to small businesses looking to renovate their locations.
-
Increased Work Opportunity Tax Credit: Section 3 increases the limitations for the Work Opportunity Tax Credit for qualified small food retail businesses, replacing existing dollar amounts with higher ones. This provides more significant tax relief for employers in this sector when paying wages.
-
Increased Bonus Depreciation: According to Section 4, the bill increases the applicable percentage for bonus depreciation for property placed in service by these businesses, as well as for plants bearing fruits and nuts planted or grafted by them. This allows businesses to recover costs more quickly.
-
Increased Qualified Business Income Deduction: Section 5 amends the code to increase the qualified business income deduction from 20 percent to 25 percent for qualified small food retail businesses.
-
New Food Retail Business Credit: Section 6 establishes a new credit equal to 15 percent of qualified investment amounts—such as those paid for property, facilities, or equipment—for new small food retail businesses that began operations within the previous three taxable years.
Potential Negative Impacts for People
- No negative impacts or burdens are explicitly mentioned in the text provided.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Improves Small Business Support+8Reduces Small Business Taxes+7Increases Job Creation+4Improves Economic Growth+3
- Demographic And Interest Groups
- Good For Business Owners+8Good For Rural Residents+3Good For Low Income Households+2
- Social Issues And Justice
- Improves Poverty Reduction+2
- 11/12/2025
- 1 Cosponsor added.
- 1/23/2025
- Referred to the House Committee on Ways and Means.
- 1 Cosponsor added.
- Introduced in House
Jahana HayesDemocrat · Connecticut
Shri ThanedarDemocrat · Michigan