Race Horse Cost Recovery Act of 2025

The Race Horse Cost Recovery Act of 2025 would amend the tax code to allow owners of race horses to deduct the full cost of their horses over a three-year period for tax purposes, instead of the standard longer depreciation schedule. This change would directly affect race horse owners, breeders, and trainers in the horse racing industry by accelerating their tax deductions for horse purchases. The bill specifically adds "race horse" to the list of property eligible for this accelerated depreciation under the Internal Revenue Code. The provision applies to race horses placed in service after December 31, 2022.