On October 1, 2015 Congressman Andy Barr (R-KY) re-introduced the Race Horse Cost Recover Act (H.R. 3671) and Equine Tax Parity Act (H.R. 3672). The Race Horse Cost Recover Act would permanently place all race horses in the three-year category for tax depreciation purposes. A 2008 provision that temporarily put race horses in the three year category expired at the end of 2014. The Equine Tax Parity Act would make horses eligible for capital gains treatment after 12 months, rather than 24, similar to other business assets.
Race Horse Cost Recover Act
Despite historically low approval ratings for Congress, Americans still have an interest in what Congress is doing. Why is this?
Because what Congress does, or does not do, has an impact on the equine industry. Regardless of the breed of your horse, the discipline you participate in, whether you are an individual owner, run a racetrack or horse show, own a horse business, work in the industry as a service provider or ride for recreation—the decisions made here in Washington, DC affect you.
On July 30, the Senate passed its version of a multi-year national highway bill, called the DRIVE Act. The bill would reauthorize the Federal Highway Administration’s Recreational Trails Program (RTP).
An amendment by Senator Mike Lee (R-UT) was filed that would have eliminated the Transportation Alternatives Program, which includes the Recreational Trails Program. However, this amendment was not considered and the RTP program will continue un- changed if this bill becomes law.