Farm Bankruptcy Bill Passes

Iowa Senator Chuck Grassley and Senator Al Franken from Minnesota have sent a bipartisan farm bankruptcy relief bill to the President. It passed 82-17 in the Senate.

The bill is designed to make it easier to declare chapter 12 bankruptcy and reorganize.

When farmers file bankruptcy, they often have to sell assets like farm equipment or land. When they do that, the government takes a portion of that in taxes, sometimes that difference makes the reorganization unaffordable.