EGG SAVE Act of 2026

New hatchery equipment tax credit

If enacted, this bill would let commercial egg hatchery operators in the United States claim a new tax credit for in-ovo sex identification equipment. The credit would equal 50% of qualified equipment costs placed in service in 2027, 40% for 2028, and 30% for 2029. Qualified costs would include purchase, installation, and necessary facility modifications, and equipment must meet a 95% or higher accuracy standard and be placed in service at a U.S. commercial egg hatchery. The credit would count as a current-year business credit when computing the general business credit, would reduce the tax basis of the property, and Treasury would be allowed to recapture the credit if the equipment stops qualifying or the operator stops running the hatchery. The rule would apply to property placed in service after December 31, 2026, and would not apply to property placed in service after December 31, 2029.