Breeding & Racing Magazine

US Equine Equity Act Now Law

Members of the US Senate & House Of Representatives voted overnight to override a presidential veto of the 2007 Farm Bill exercised by George Bush May 21. As a result, the 2007 Farm Bill "is now law & it includes the Equine Equity Act, a provision that amends the depreciation schedule for racehorses to a uniform 3 years," reported bloodhorse.com. Under previous tax law, racehorses were depreciated over either 3 or 7 years "depending on their age when placed in service." (A horse is generally deemed to be placed in service when it begins training.) US National Thoroughbred Racing Association president Alex Waldrop commented: "This crucial piece of legislation finally provides fair & equitable tax treatment to the thoroughbred industry. This day is the culmination of many years of effort on Capitol Hill by the NTRA legislative team."