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Betsy Bates

Outlook Optimistic For 2018

January 12, 2018/0 Comments/in news-2018 /by Betsy Bates

For timberland owners, many factors—including stable to increasing stumpage (standing tree) prices—may finally be pointing to a possible end to the long-running recession.

Not wanting to be overly optimistic but noting the positive trends, Marshall Thomas, President of F&W Forestry Services, discusses these trends in the latest issue of his company’s quarterly newsletter, the F&W Forestry Report.

Thomas notes that stable or increasing stumpage prices, housing starts nearing 1.3 million units, lumber companies investing to increase production and build new mills, the new tax bill, and recent action by the U.S. Department of Commerce regarding softwood lumber from Canada—all issues which are discussed in depth in the newsletter—make the new year look hopeful for timberland growers.

TO SEE THE FULL ARTICLE IN THE WINTER 2018 F&W FORESTRY REPORT, SUBSCRIBE NOW

Betsy Bates

Tariffs Finalized In Softwood Lumber Disagreement With Canada, But Dispute Continues

January 12, 2018/0 Comments/in news-2018 /by Betsy Bates

In the last two months of 2017, the U.S. Commerce Department and the U.S. International Trade Commission (ITC) confirmed the anti-dumping and countervailing duties that were previously assessed on softwood lumber imports from Canada.

Although the combined tariffs are finalized at an average of 20.83 percent, down from the average 26.75 percent proposed earlier in 2017, the ITC concluded that the U.S. softwood lumber industry is materially harmed by imported Canadian lumber that is sold in the U.S. for less than fair market value.

Defending its softwood lumber industry, Canada filed challenges to the duties, but it will be at least the fall before any decision is made to overturn or sustain the ruling.

TO SEE THE FULL ARTICLE IN THE WINTER 2018 F&W FORESTRY REPORT, SUBSCRIBE NOW

Betsy Bates

New Tax Bill Appears Beneficial To Forest Landowners

January 12, 2018/0 Comments/in news-2018 /by Betsy Bates

In December, President Trump signed the Tax Cuts and Jobs Act, the largest overhaul of the U.S. tax code in 30 years.  While it remains to be seen what effect the law will have on the economy, several key provisions are certain to affect forest landowners.

Most importantly, the bill preserves the existing tax provisions for commercial forestry, such as capital gains treatment of timber sales and deductions of certain forestry-related business expenses.  In addition, the law doubles the estate tax exemption level and allows for a new pass-through business deduction.

But the new tax law limits the property, state and local tax deductions to $10,000 for all three combined, which could have a negative impact on tree growers, especially those in high-tax states.

TO SEE THE FULL ARTICLE IN THE WINTER 2018 F&W FORESTRY REPORT, SUBSCRIBE NOW

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