From NTRA
WASHINGTON, D.C. (Jan. 31, 2024) — The House of Representatives passed H.R. 7024, the Tax Relief for American Families and Workers Act of 2024, with huge bipartisan support. This comprehensive tax package includes the extension of 100% bonus depreciation until the end of 2025. Since its inception in the Tax Cuts and Jobs Act of 2017, 100% bonus depreciation has played a pivotal role helping more people enjoy the sport of Thoroughbred racing by fostering economic growth from within. The provision allows businesses that own horses to depreciate 100% of their purchase price in the first year when the horse starts participating in the sport. This bill will also retroactively elevate any purchases made in 2023 to the 100% bonus depreciation level, which were previously at 80%. This legislation now moves to the Senate for consideration, with the hopes that it is quickly passed and signed into law.
The Thoroughbred industry has seen increased investment over the past several years in large part due to provisions such as this. For these reasons, tax policy has remained a central focus of NTRA’s lobbying efforts in Washington, DC. While there is still work to be done in the Senate, the NTRA appreciates the efforts of House Leadership and, notably, Chairman Jason Smith (R-MO), for their instrumental role in advancing this legislation to its current stage. The NTRA will continue to provide updates as this bill moves through the legislative process.