While not all topics will be presented, the coursebook being offered to attendees for the June 21st online course includes the following topics:
Timely Tax Issues Impacting Agricultural Producers
This chapter reviews hot topics in agricultural taxation, including farm income averaging, the taxation of farm rental property, corporate reorganizations, and retiring a farm asset.
Tax Treatment of Conservation-Related Payments and Expenses
Farmers are exploring many new practices and opportunities related to improving water quality, reducing greenhouse gas emissions, and increasing renewable energy opportunities. This chapter reviews the tax rules for conservation-related expenses and payments, including soil & water quality expenses, cost share programs, CRP payments, conservations easements, carbon credits, pipeline and solar payments, and more.
Retiring a Farm Partner
Retiring a partner under the provisions of I.R.C. § 736 can be a very effective way of transferring ownership of a farm business to the next generation be that family members or key employees. These provisions can be applied at any time that a partnership desires to liquidate the interest of a partner. This approach has several advantages over an outright sale or an installment sale. However, the rules are somewhat complex and present several pitfalls for the unwary. This chapter reviews the rules for a successful business transfer.
CPA or Attorney Statements for AGI Compliance and other FSA Issues
Farm programs are varied and complex. They each come with their own payment limitations and adjusted gross income compliance rules. This chapter reviews Farm Service Agency rules for CPAs and attorneys to certify compliance with AGI requirements. It also provides updates on several new programs implemented in 2022.
Tax Challenges for H-2A Workers
Employers with H-2A workers must strictly adhere to complex federal regulations, as well as strict IRS procedures for payroll and associated expenses. This chapter reviews common tax issues associated with H-2A workers.
Newly Acquired Farm Assets
Farmers who purchase or otherwise acquire farm property must allocate the purchase price or basis among the various assets. This chapter discusses the assignment of value to farm assets such as drainage tile, fence, and residual fertility. It also reviews key 2022 rules for depreciation and expensing.
Considerations for Starting an Agricultural Business
This chapter discusses how to determine when an agricultural business begins. It also reviews the rules for deducting and amortizing startup costs.
The Taxation of Tree and Berry Farms
This chapter discusses special tax issues associated with Christmas trees, fruit and nut bearing trees, and berries and brambles.
Charitable Gifting for Farmers
Many farmers wish to contribute or donate to charitable organizations. This chapter provides an in-depth review of the rules for the charitable gifting of commodities. It also discusses several other options farmers may consider when planning their charitable giving strategies, including charitable remainder trusts and donor advised funds.
Sale and Exchange of Farm Property
Calculating and reporting gains and losses on the disposition of business assets can be complex. Form 4797, Sales of Business Property, not only reports gains and losses from straightforward sales, but it is also the collection point for recognized gains calculated on Form 6252, Installment Sale Income; Form 8824, Like-Kind Exchanges; and recognized gains and losses calculated in Section B—Business and Income-Producing Property of Form 4684, Casualties and Thefts. This chapter is a reference for reporting tax for the sale and like-kind exchange of farm property.
Sample Farm Tax Return