Bill > HB1019

This bill creates a new tax credit for farmers in Washington state, effective from January 1, 2026, through January 1, 2036. The credit allows farmers to receive a 25 percent tax deduction on expenditures related to purchasing new equipment, infrastructure, seed, seedlings, spores, animal feed, and amendments. To qualify for the credit, farmers must either receive grant funds from the Washington state conservation commission (directly or indirectly through a conservation district) or participate in a state conservation program. The tax credit is limited to the amount of taxes the farmer would otherwise owe, and any unused credit can be carried forward for up to two additional calendar years. Farmers do not need to submit a formal application but must maintain documentation of grant funds or program participation. The bill's underlying policy objective is to encourage more farmers to participate in conservation programs by providing a financial incentive. If a future review demonstrates increased farmer participation in conservation efforts, the legislature may consider extending the tax credit beyond its current expiration date. The bill defines "farmer" using the existing definition in RCW 82.04.213 and allows the state department to develop additional implementation rules.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1019&Year=2025&Initiative=false