Metro Lex News

Today, Congressmen Andy Barr and Morgan McGarvey reintroduced two bipartisan bills aimed at bolstering Kentucky's equine industry. The Racehorse Cost Recovery Act seeks to establish a permanent three-year depreciation schedule for racehorses, eliminating the need for annual congressional reauthorization. The Racehorse Tax Parity Act aims to reduce the holding period for equine assets to qualify for long-term capital gains treatment.

"Kentucky's equine industry is not just a cultural cornerstone but also a vital economic driver for our Commonwealth," said Congressman Andy Barr. He emphasized that these reforms would provide certainty and fairness in the tax code, encouraging investment and supporting Kentuckians' livelihoods.

Congressman Morgan McGarvey expressed his support, stating, “This important, bipartisan legislation will grow our state's economy and ensure Kentucky remains the horseracing and breeding capital of the United States.”

Industry leaders have shown strong backing for these initiatives. Shannon Arvin of Keeneland praised the legislation as essential for sustaining a robust Thoroughbred marketplace. Former Congressman Tom Rooney highlighted Barr and McGarvey's commitment to securing crucial tax incentives, which he believes could drive investment and growth in the sport.

Chauncey Morris from the Kentucky Thoroughbred Association noted that permanent tax incentives are crucial to Kentucky's economy, emphasizing their reliance by racehorse owners nationwide. James Gagliano of The Jockey Club applauded both congressmen for addressing tax code deficiencies that affect horse racing.

Both bills have garnered support from organizations such as the National Thoroughbred Racing Association, Keeneland, Breeders Cup, and The Jockey Club.