[Congressional Record Volume 149, Number 44 (Wednesday, March 19, 2003)]
[Extensions of Remarks]
[Pages E514-E515]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                   SUPPORT RANCHER DROUGHT TAX RELIEF

                                 ______
                                 

                           HON. BARBARA CUBIN

                               of wyoming

                    in the house of representatives

                       Wednesday, March 19, 2003

  Mrs. CUBIN. Mr. Speaker, our Tax Code is unfairly penalizing 
livestock producers during the present drought that is affecting a 
large area of this great country. Under current law, ranchers who were 
forced to sell their cattle because of the drought are limited to a 
time period of just 2 years before they either have to pay taxes on 
that sale--or buy new livestock--even though the drought persists. The 
problem is, we are now in the third year of this drought, and there's 
no end in sight--experts have called this the worst drought in a 
century in many parts of the West, including my home, Wyoming. In fact, 
it is so bad out West that we had a city in Wyoming actually run out of 
water last summer. If the cities are out of water, imagine how hard it 
is for ranchers to raise their livestock on drought-ravaged land.
  A good first step to help drought-stricken ranchers is to extend the 
period of time we allow for them to weather the drought. That's why I 
support the McInnis amendment in H.R. 1308, the Tax Relief, 
Simplification, and Equity Act of 2003, which would allow ranchers an 
additional 2 years to either replace their herd or pay a capital gains 
tax. The impact on the Treasury would be small, but the impact on 
Wyoming ranchers is huge. It is the difference between sinking and 
swimming. The 2-year limit in current law is unworkable in our present 
situation and serves as a disincentive to those who raise this valuable 
commodity that feeds millions of people. A poorly designed Tax Code 
should not force these small business men and women to choose between 
closing their doors or paying their tax bill.
  Mr. Speaker, these are desperate times for our agricultural 
community, and they demand our attention. This change can provide hope 
to those who are on the verge of closing the barn doors for good. I 
yield back the balance of my time.

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