117 HR 5833 IH: Equine Tax Fairness Act U.S. House of Representatives 2021-11-03 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I117th CONGRESS1st SessionH. R. 5833IN THE HOUSE OF REPRESENTATIVESNovember 3, 2021Mr. Barr introduced the following bill; which was referred to the Committee on Ways and MeansA BILLTo amend the Internal Revenue Code of 1986 to modify certain provisions related to horses.

1.

Short title

This Act may be cited as the Equine Tax Fairness Act.

2.

Reduction of holding period to 12 months for purposes of determining whether horses are section 1231 assets

(a)

In general

Section 1231(b)(3)(A) of the Internal Revenue Code of 1986 is amended by striking and horses.(b)

Effective date

The amendment made by this section shall apply to taxable years beginning after December 31, 2021.

3.

Three-year depreciation for race horses

(a)

In general

Section 168(e)(3)(A)(i) of the Internal Revenue Code of 1986 is amended to read as follows:(i)any race horse,.(b)

Effective date

The amendments made by this section shall apply to property placed in service after December 31, 2021.