S.

3 : The Agricultural Property Tax Refund Act of 2019

First Session of the 116TH United States Senate

S. 3
To Provide the Owners of Agricultural Farmland A
Refund of Twenty-Five Percent of All Property Taxes
Paid on Farm Assets Annually:

Proposed, Sponsored, and Brought to the Floor by

Senator Justin Banks of Alabama

Findings and Purposes:

Farming is a primary source of state income in over seventy
percent of the fifty states, and there has been significant research
into the decrease of agricultural outputs in the United States and
the increase of farm foreclosures. The main reason for these
detrimental situations within the farming industry is the financial
inability of small to medium sized farms to sustain themselves
following a failed crop. The purpose of The Agricultural Property
Tax Refund Act of 2019 is to provide a guaranteed refund of
twenty-five percent of total property taxes paid on farm overhead.
This will assist the farming industry by providing financial
assistance to some of the hardest working blue collar Americans.

Section 1. Table of Contents;

Contents

Page
Title…………………………………………………………. 1
Findings and Purposes……………………………………… 1
Section 1. Table of Contents;……………………………….. 1
Section 2. Short Title;………………………………………. 2
Section 3. IRS Form Creation; Processes;………………….. 2
Section 4. Fraud;……………………………………………. 2
Section 5. Collection of Farm Asset Property Taxes;
Distribution of Tax Refunds to Farmers;………….………… 3

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 S. 3 : The Agricultural Property Tax Refund Act of 2019

Section 6. Sunset Clause;…………………………………… 3

Section 7. Severance Clause;……………………………….. 4
Section 8. Addition Clause;………………………………… 4
Section 9. Authorization of Appropriations………………… 4

Section 2. Short title;

(a) Short Title — This Act may be cited as the

“Agricultural Property Tax Refund Act of 2019”.

Section 3. IRS Form Creation; Processes;

(a) IRS Form Creation — The Creation of a new IRS form

will be required. This form, hereafter referred to as “IRS form
8322” will be for the sole use of citizens who paid property taxes
on farm land, equipment, and overhead. IRS Form 8322 will be
filed by these citizens for the calming of their twenty-five percent
property tax refund.

(b) Processes — Citizens wishing to file an IRS Form

8322, hereafter referred to as “Farmer” or “Farmers”, must follow
all previous federal laws and regulations prior to the passing of the
Agricultural Property Tax Refund Act of 2019. Farmers will claim
their farm related property taxes using this form as opposed to any
other IRS form of the same domain. Farmers must provide proof of
ownership of all items being claimed and proof of property tax
payments for the prior year in addition to filing IRS Form 8322. It
is not mandatory for farmers to file IRS Form 8322. In the case
that a farmer does not wish to file an IRS Form 8322, they file
according to standard property tax filing process, but will opt
themselves out of receiving their twenty-five percent refund or any
state federal or state property tax refund.

Section 4. Fraud;

(a) Fraud — Providing false information on an IRS Form

8322 will be classified as a first degree felony under current
federal tax law and regulations. Any farmer found providing false
information on their IRS Form 8322 will face a minimum five year
prison sentence, a fine equating to double the claimed amount on
their IRS Form 8322, and the inability to file an IRS Form 8322 for
fifteen years after the date of the false claim.

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 S. 3 : The Agricultural Property Tax Refund Act of 2019

Section 5. Collection of Farm Asset Property Taxes; Farm

Distribution of Tax Refunds to Farmers;

(a) Collection of Farm Asset Property Taxes — The

collection state property taxes on farm assets are to cease upon the
passing of the Agricultural Property Tax Refund Act of 2019. All
property taxes on farm assets are to be collected and paid by and to
the federal government. This is for the ease of issuing federal tax
refunds following the filing of IRS Form 8322 by a farmer.

(b) Distribution of Tax Refunds to Farmers — The

Distribution of the funds issued by the Agricultural Property Tax
Refund Act of 2019 are to be included in the farmers total federal
tax refund and issued as such. This is a non-taxable income and
should not be included in the following years income tax filing.
The refund is to equate to approximately twenty-five percent of the
total federal property tax paid. The refund will be rounded to the
nearest dollar and issued promptly in accordance with current IRS
standard operating procedures.

Section 6. Sunset Clause;

(a) Sunset Clause — The Agricultural Property Tax Refund

Act of 2019 once passed will be in effect for ten years from the
start of the fiscal year following the passing of the bill. After this
ten year period, it is to be revisited by congress for evaluation of
effectiveness in preservation and revitalization of the American
farming industry and relevance. If found to have had positive
impact, future congressional sessions reserve the right to reenact
The Agricultural Property Tax Refund Act of 2019 in ten year
periods.

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 S. 3 : The Agricultural Property Tax Refund Act of 2019

Section 7. Severance Clause;

(a) Severance Clause — If any section or subsection of The

Agricultural Property Tax Refund Act of 2019 is found
unsatisfactory by the chamber said section or subsection may be
severed from the rest of the act and amended until satisfactory.

Section 8. Addition Clause;

(a) Addition Clause — The chamber reserves the right to

add sections or subsections to The Agricultural Property Tax
Refund Act of 2019.

Section 9. Authorization of Appropriations

(a) Authorization of Appropriations — $2,200,000,000 for

the refunding of twenty-five percent of the total federal property
tax paid by farmers. An additional 1.91% is to be added yearly to
account for the average annual inflation of the United States
Dollar.