ACRE Act of 2025

Bill 119 s 838, also known as the "Rural and Agricultural Real Property Interest Exclusion Act," aims to make changes to the Internal Revenue Code of 1986. The main purpose of this bill is to exclude interest received on certain loans that are secured by rural or agricultural real property from being considered as gross income.

The bill seeks to provide relief to individuals and businesses in rural and agricultural communities by allowing them to exclude the interest they receive on loans secured by their property from their taxable income. This exclusion would apply to loans that are used for purposes related to rural or agricultural activities.

By excluding this interest from gross income, the bill aims to incentivize lending to rural and agricultural communities, as well as provide financial relief to those who rely on these types of loans for their livelihood. This could potentially stimulate economic growth in these areas and support the sustainability of rural and agricultural businesses. Overall, Bill 119 s 838 seeks to support rural and agricultural communities by providing them with tax relief on interest received from loans secured by their property, ultimately aiming to promote economic development and stability in these areas.