Taxation

The consistent increase of farmland tax burdens directly impacts producers’ bottom lines. Last session, INFB had conversations with legislators about farmland taxes, which will continue into this session to safeguard a manageable and predictable tax system. This includes a modernization of farmland taxation, realigning tax burdens based on the demand for services and ability to pay, and reducing the reliance on property tax with effective controls and income taxes.

Farmland property taxes have been escalating rapidly over the last few years. In 2023, the base rate rose 17%, followed by another jump in 2024 of 26.4% and a projected jump of 20% next year, according to the Indiana Department of Local Government Finance. The United States Department of Agriculture also predicts net farm income is set to decline nearly 25% in two years, with substantial losses in crop receipts and continued pressure from rising costs, making it difficult for farmers just to break even.

Property Tax One-Pager

Water Rights

INFB will work to ensure the accessibility of water, a crucial resource in producing the food, fuel and fiber our nation relies upon, by advocating for expanded groundwater protection rights to proactively safeguard agriculture operations and farmers’ investments in producing food. This includes adding language that protects agriculture from potential negative impacts from water withdrawals by other industries.

Additionally, INFB will advocate for the implementation of a statewide, dedicated groundwater well monitoring network to inventory the current groundwater supply in the state.

Water One-Pager

Senate Bill 28 Brief

The county Farm Bureaus marked in green on the map above highlighted taxation as a top priority for them this legislative session.

The county Farm Bureaus marked in blue on the map above highlighted water rights as a top priority for them this legislative session.