The Hardwood Federation produces a “D.C. Cheat Sheet” newsletter to keep the industry up-to-date on the latest news from Washington D.C. Check out the November 3rd edition below and sign up to receive your copy.
Hardwood Federation Fights for Big Equipment Tax Break
Congress usually adopts tax breaks on specific investments, whether we’re talking about solar panels or heavy-duty trucks, with a “sell-by” or sunset date attached to it and reviews them at the end of each year. Because the hardwood industry relies on 100 percent depreciation expensing of its heavy-duty equipment, which is due to decline by 20 percent each year beginning January 1, 2023 until it is completely depleted – the Hardwood Federation is drafting a letter to key tax writers in Congress urging lawmakers to extend the deduction within the context of any tax package that might come together before the end of 2022. The federation joins other industry groups, including the National Association of Manufacturers, in this effort to build support and momentum to extend the 100 percent write-off for heavy duty equipment when they return after the mid-term elections. Bonus depreciation is important to the hardwood industry; members of the sector regularly invest in new dry kilns, boilers, forklifts, trucks, and other equipment essential to producing hardwood products and moving them to our end customers.
“Forests in the Farm Bill” Kicks into High Gear
With current the farm bill due to expire in 2023, the Hardwood Federation is working with allied groups within the “Forests in the Farm Bill” (FIFB) coalition to tee up priorities as the bill moves through Congress next year. Fortunately for the industry, the group rallies around basic strategies that will increase the demand for wood products, including wood innovation. To make sure that hardwoods aren’t left on the cutting board during discussions, the federation is advocating for increased research around the carbon storage benefits of hardwoods, funding for education programs related to design, and worker training programs. The federation will also actively advocate for continued, and hopefully increased, funding for export promotion programs as part of our Farm Bill focus.
HF Corporate Fundraising Sprints to the Finish Line
The Hardwood Federation relies on corporate contributions from the industry to support our day-to-day operations and federal advocacy efforts on issues of common interest, including tax, trade, transportation, and climate policy. As we prepare for a new Congress in 2023, the federation will have unique opportunities, including eventual passage of a new farm bill, to create federal policies that will help the industry thrive during challenging economic times. As a member of the U.S. hardwood community, the federation hopes we can rely on your support for our efforts on behalf of the industry in Washington. If you would like to make a contribution to help the Federation kick off 2023 on a strong note, please click here.
Source: Hardwood Federation