,i  #aaith ,,congress  #b;d ,session    
,h4 ,r4 #heia  ,,in ,,the ,,house ,,of  
,,representatives  ,april #cj1 #bjbf,mr4
 ,massie 7for himself1 ,ms4 ,perez1 ,mr4
 ,roy1 ,mr4 ,davidson1 ,mr4 ,burchett1  
,ms4 ,boebert1 ,ms4 ,mace1 ,mr4         
,edwards1 ,mr4 ,burlison1 ,mr4 ,collins1
 and ,ms4 ,fedorchak7 introduced the    
following bill2 which was referred to   
the ,committee on ,ways and ,means  ,a  
,,bill  ,to amend the ,internal ,revenue
 ,code of #aihf to provide an exclusion 
from gross income of gain from the sale 
of qualified farm property to qualified 
family members4  #a4 ,short title ,this 
,act may be cited as the ,no ,capital   
,gains ,tax on ,family ,farms ,act4  #b4
 ,exclusion from gross income of gain   
from sale of qualified farm property to 
qualified family members  7a7 ,in       
general ,part ,,iii of subchapter ,b of 
chapter #a of the ,internal ,revenue    
,code of #aihf is amended by inserting  
after section #aba the following new    
section3  #aba;,a4 ,exclusion of gain   

from sale of qualified farm property to 
qualified family members  7a7 ,exclusion
 ,gross income shall not include gain   
from the sale or exchange of qualified  
farm property to a qualified family     
member of the taxpayer4  7b7            
,definitions ,for purposes of this      
section-- 7#a7 ,qualified farm property 
,the term qualified farm property means 
any interest in real property located in
 the ,united ,states if1 during periods 
aggregating #b years or more during the 
#h-year period ending on the date of the
 sale or exchange of such real property1
 such real property was owned and used  
as a farm for farming purposes 7within  
the meaning of section #bjcb;,a7e77 by  
the taxpayer4  7#b7 ,qualified family   
member ,the term qualified family member
 means1 with respect to any taxpayer--  
7,a7 the spouse of such taxpayer1  7,b7 
a lineal descendant of such taxpayer1 of
 such taxpayer's spouse1 of a parent of 
such taxpayer1 or of a parent of such   
taxpayer's spouse1 or  7,c7 the spouse  

of any lineal descendant described in   
subparagraph 7,b74  ,for purposes of the
 preceding sentence1 a legally adopted  
child of an individual shall be treated 
as the child of such individual by      
blood4  7c7 ,special rules  7#a7 ,basis 
of qualified farm property ,for purposes
 of this section-- 7,a7 ,in general ,the
 basis of qualified farm property in the
 hands of a qualified family member     
following a sale or exchange described  
in subsection 7a7 shall be the adjusted 
basis of such qualified farm property in
 the hands of the taxpayer immediately  
before such sale or exchange4  7,b7     
,increased basis following #aj-year     
holding period ,if1 following a sale or 
exchange described in subsection 7a71   
the qualified farm property is not sold1
 exchanged1 or otherwise disposed of for
 the #aj-year period beginning on the   
date of such sale or exchange1 the basis
 of such qualified farm property in the 
hands of the qualified family member 7as
 of the first day following such        

#aj-year period7 shall be increased by  
an amount equal to the excess 7if any7  
of-- 7i7 the fair market value of such  
qualified farm property 7as of the date 
of such sale or exchange71 over  7ii7   
the basis of such qualified farm        
property in the hands of such qualified 
family member 7as otherwise determined  
under subparagraph 7,a774  7#b7         
,election to have section not apply     
,rules similar to the rules of section  
#aba7;f7 shall apply for purposes of    
this section4  7d7 ,regulations ,the    
,secretary shall prescribe such         
regulations or other guidance as may be 
necessary or appropriate to carry out   
the purposes of this section1 including 
with respect to the application of      
subsection 7c77#a77;,b7 in cases other  
than where the entire interest in       
qualified farm property is not sold1    
exchanged1 or otherwise disposed of for 
the applicable #aj-year period4  4  7b7 
,clerical amendment ,the table of       
sections for part ,,iii of subchapter ,b

 of chapter #a of such ,code is amended 
by inserting after the item relating to 
section #aba the following new item3    
,sec4 #aba;,a4 ,exclusion of gain from  
sale of qualified farm property to      
qualified family members4  4  7c7       
,effective date ,the amendments made by 
this section shall apply to sales or    
exchanges after the date of the         
enactment of this ,act4