The Farm CPA

Russia May Surpass US in Wheat Exports

Paul Neiffer — Tue, 25 May 2010 21:50:56 GMT

By the end of the decade Russia may export more wheat than the US

New Drought Resistant Seed May Expand the Corn Belt

Paul Neiffer — Thu, 06 May 2010 10:24:41 GMT

How the new corn seed may help farmers.

Net Revenue per Acre Is Better than Yield per Acre

Paul Neiffer — Tue, 01 Jun 2010 11:51:00 GMT

Your net revenue per acre can be more important than your yield per acre.

Farmland Investing Has Been Very Competitive with Other Investments

Paul Neiffer — Tue, 08 Jun 2010 10:53:11 GMT

Farmland investing from 1970 to 2009 has returned about 13% annually.

Farmland Values Rise in First Quarter

Paul Neiffer — Mon, 17 May 2010 09:08:52 GMT

The Kansas City Fed reports a rise in land values in the first quarter.

Go West - Corn Belt

Paul Neiffer — Tue, 15 Jun 2010 10:59:00 GMT

New drought resistant corn seed coming on line over the next few years will expand the corn belt.

Watch Those Pesky Excise Taxes

Paul Neiffer — Wed, 21 Apr 2010 12:47:18 GMT

Sometimes an excise tax can cost you more than income taxes

Law of Diminishing Returns

Paul Neiffer — Wed, 02 Jun 2010 10:42:59 GMT

Maximize your yield up to the law of diminishing returns

Watch Your Real Estate Tax Bill

Paul Neiffer — Mon, 05 Apr 2010 08:09:41 GMT

Watch the change in real estate values affect your property tax bill

The Patient Protection and Affordable Care Act (Health Care Act) - Summary of Tax Provisions

Paul Neiffer — Tue, 23 Mar 2010 11:35:32 GMT

What are the tax and other ramifications of the new Health Care Act

IRS Is Getting Ready for Billions of Form 1099s

Paul Neiffer — Thu, 27 May 2010 15:51:28 GMT

Under new rules, starting in 2012, farmers will need to report many more transactions to the IRS.

What is Your New Dividend Tax Rate

Paul Neiffer — Mon, 26 Apr 2010 11:31:04 GMT

For 2011, the Dividend Tax Rate is Most Likely Higher Than 2010

Foreign Banks Continue Investment in Ag Sector

Paul Neiffer — Thu, 17 Jun 2010 09:55:00 GMT

TierOne Bank is taken over by Australia owned Great Western Bank

You Can Use an IRA Too--Maybe!

Paul Neiffer — Fri, 04 Jun 2010 14:03:31 GMT

An IRA can be rolled over into a pension plan to help you get started in farming if you follow the rules.

Some Interesting Facts About Wheat Production

Paul Neiffer — Mon, 03 May 2010 08:48:54 GMT

The Who, What and Where of Wheat Production

Take Your Ag Chemical Security Credit

Paul Neiffer — Thu, 25 Mar 2010 17:58:24 GMT

30% of Your Costs to Improve Chemical Security Can Offset Your Taxes

We Don't Want a Partnership!

Paul Neiffer — Thu, 08 Apr 2010 11:54:41 GMT

When farm families do not want to file a partnership income tax return

Food Demand Drives Farmland Prices

Paul Neiffer — Mon, 14 Jun 2010 17:01:00 GMT

The growing demand for food over the next 20 years should keep farmland values higher.

Russia Goes for World Dominance - in Wheat!

Paul Neiffer — Mon, 07 Jun 2010 08:40:05 GMT

Russia is striving to become the number 1 wheat exporter

Response to Russian Wheat Export Dominance

Paul Neiffer — Tue, 08 Jun 2010 14:22:14 GMT

Steve Mercer of US Wheat Associates Responds

How a Tax Credit Works

Paul Neiffer — Mon, 29 Mar 2010 12:40:46 GMT

How a Tax Credit is Different From a Deduction

New Tax Credit for Health Insurance Premiums Paid by Farmers

Paul Neiffer — Tue, 27 Apr 2010 13:03:33 GMT

You can take a credit for up to 35% of health insurance premiums paid by you for your workers

Tap Your 401(k) to Get Started in Farming

Paul Neiffer — Thu, 03 Jun 2010 16:19:28 GMT

How you can use your current 401(k) plan to get started in farming

Some CRP Payments not Subject to SE Taxes

Paul Neiffer — Tue, 30 Mar 2010 22:52:57 GMT

Some taxpayers will not owe self-employment tax on CRP payments

State Income Tax Refund can Create a 45% Tax Bracket or Higher

Paul Neiffer — Thu, 29 Apr 2010 11:29:22 GMT

How a state income tax refund can cause a large increase in federal tax

We Don't Want a Partnership - Part 2

Paul Neiffer — Sun, 11 Apr 2010 11:59:09 GMT

Why and How to Elect out of a Partnership

What if an Employer Does Not Pay Health Insurance Premiums?

Paul Neiffer — Mon, 03 May 2010 16:22:41 GMT

What happens if employers do not pay any employee's health insurance under the new Health Care Act?

Harvest Time is Done

Paul Neiffer — Thu, 15 Apr 2010 17:14:23 GMT

Just an Update that April 15 is Almost Done

Where's my Step Up

Paul Neiffer — Tue, 23 Mar 2010 23:19:42 GMT

How do the 2010 Estate Tax Laws Effect the Cost Basis of Inherited Property

Is South America's Soy Harvest a Threat to North America's Price

Paul Neiffer — Mon, 22 Mar 2010 23:23:41 GMT

How does the record South America soybean crop affect our price here?

Rural Economy Continues to Improve

Paul Neiffer — Thu, 22 Apr 2010 09:56:30 GMT

Creighton University Rural Mainstreet Reports Improvement in Farming Sector

Welcome to The Farm CPA Blog

Paul Neiffer — Mon, 22 Mar 2010 13:50:35 GMT

What you can expect from this blog?

Take Advantage of the New HIRE Credit

Paul Neiffer — Wed, 05 May 2010 09:19:43 GMT

A farmer can save many $1,000 of payroll taxes if they hire new un-employed employees.

Some S Corporation Dividends May Become Subject to Self Employment Taxes

Paul Neiffer — Mon, 24 May 2010 13:31:44 GMT

The New Tax Act will make more S corporation income subject to self employment taxes

Is Farmland Too Good of an Investment

Paul Neiffer — Wed, 23 Jun 2010 09:07:09 GMT

Now that articles about farmland being a good investment are appearing in mainstream sources, are we near a peak in values?

Minnesota Farms See 63% Drop in Farm Income in 2009

Paul Neiffer — Wed, 07 Jul 2010 11:13:53 GMT

The median farm in 2009 saw their income drop by about 63% during 2009 in Minnesota.

Lots of Corn - But We Need It

Paul Neiffer — Wed, 30 Jun 2010 17:47:23 GMT

The June Acreage report lifts the corn and wheat market

Working Capital - Lifeblood of a Farm

Paul Neiffer — Mon, 21 Jun 2010 13:29:32 GMT

Working capital provides the financial lifeblood for your farm.

Dividend Tax Rates are About to Skyrocket

Paul Neiffer — Sat, 10 Jul 2010 13:31:54 GMT

Beginning in 2013, your maximum tax rate on dividends will almost triple in some cases.

Challenges Facing Conservation Reserve Program

Paul Neiffer — Thu, 01 Jul 2010 11:19:34 GMT

With reduced acres and increase in crop prices, the CRP program faces new challenges.

Health Care Credit Limits Posted by IRS

Paul Neiffer — Fri, 16 Jul 2010 12:07:28 GMT

The IRS has posted the maximum amount of health insurance premiums you can use in calculating the new health care credit limits.

S Corp versus C Corp Dividends

Paul Neiffer — Mon, 19 Jul 2010 09:40:04 GMT

What is the difference between taxation of S and C corporations.

Don't Miss a Marketing Opportunity

Paul Neiffer — Wed, 21 Jul 2010 09:50:06 GMT

With the rally in grain prices, check your budget to see if is time to sell or lock in some prices on your new crop.

Estate Tax Update

Paul Neiffer — Tue, 27 Jul 2010 08:46:39 GMT

In many cases a farm family may owe almost as much in incomes taxes with no estate taxes for 2010

What's My Step Up

Paul Neiffer — Thu, 29 Jul 2010 15:35:00 GMT

An explanation of what a step or down is for income tax purposes.

Rural Index Turns Negative Again

Paul Neiffer — Thu, 05 Aug 2010 11:00:00 GMT

The Rural Mainstreet Index again enters negative territory

US Farm Managers are on a roll

Paul Neiffer — Fri, 06 Aug 2010 09:56:00 GMT

Due to the Baby Boom Generation of farm land transfer and continued high farm land values, farm manager companies continue to succeed.

Rise in Wheat Futures has not carried over to Cash Market

Paul Neiffer — Mon, 09 Aug 2010 05:18:00 GMT

Although the wheat futures market had an extreme run up last week, most of this rise was not reflected in the cash market

Should Wheat Farmers Lock in 2011 Prices

Paul Neiffer — Mon, 09 Aug 2010 08:36:00 GMT

With the run up in wheat prices, should farmers look at locking in next year's prices on some of thier production?

Watch for Farm Partnership Tax Penalties

Paul Neiffer — Wed, 11 Aug 2010 09:39:00 GMT

Pre Crop-Tour Comments

Paul Neiffer — Fri, 13 Aug 2010 07:33:00 GMT

I leave Sunday for the Crop Tour

Large Farms Over $1 Million in Sales Account for Half of Total Farm Sales

Paul Neiffer — Fri, 13 Aug 2010 11:56:00 GMT

According to the USDA, large farms over $1 million in sales account for almost half of total farm sales.

First Day of the Crop Tour - Part 1

Paul Neiffer — Mon, 16 Aug 2010 18:43:00 GMT

My comments on the first day of the crop tour before meeting up with all other participants

First Day of Crop Tour - Part 2

Paul Neiffer — Mon, 16 Aug 2010 21:30:00 GMT

Updated comments after the group meeting.

The Crop Tour - Day 2

Paul Neiffer — Tue, 17 Aug 2010 21:48:00 GMT

Comments about my second day of the crop tour (in the rain no less).

The Crop Tour - Day 3

Paul Neiffer — Wed, 18 Aug 2010 17:47:00 GMT

Comments about day three of the tour.

The Crop Tour - Day 4

Paul Neiffer — Thu, 19 Aug 2010 22:57:00 GMT

My comments on the final day of the crop tour.

Crop Tour Recap

Paul Neiffer — Mon, 23 Aug 2010 07:26:00 GMT

My final comments regarding the crop tour.

How High will the Potash Corp Price Go

Paul Neiffer — Tue, 24 Aug 2010 11:24:00 GMT

How high with the price of Potash Corp go before it is bought?

Bring Home the Bacon

Paul Neiffer — Wed, 25 Aug 2010 09:18:00 GMT

After two years of losses, hog farmers are starting to make some money.

You Do Not Need to Own Land to Farm

Paul Neiffer — Fri, 27 Aug 2010 09:35:00 GMT

In today's enviroment, owning land may not be necessary to be a good farmer.

What Will Yields Look Like in 50 years

Paul Neiffer — Sun, 29 Aug 2010 19:44:00 GMT

If we continue to see the current yield increase each year, where will yields be at in 10 - 50 years?

Hedging is Good - Speculation is Bad

Paul Neiffer — Tue, 31 Aug 2010 08:16:00 GMT

Watch out for the adverse income tax treatment of speculation on non-farm commodities

Wheat Basis Increases by up to 44%

Paul Neiffer — Wed, 01 Sep 2010 09:48:00 GMT

Since the beginning of the year, wheat basis has gotten worse by up to 44% in some areas.

Russia Extends Its Wheat-Export Ban

Paul Neiffer — Fri, 03 Sep 2010 09:09:00 GMT

Russia extends it's wheat-export ban from December of this year to the end of the new year crop.

New Game Plan for Potash

Paul Neiffer — Mon, 06 Sep 2010 09:27:00 GMT

Even if BHP does not buy Potash Corp, it will change the Potash market

How Fast Can I Depreciate an Irrigation System

Paul Neiffer — Fri, 03 Sep 2010 17:01:00 GMT

We respond to a reader who placed in service an irrigation system in 2009.

Verasun Bankruptcy - Check Your Preference Payments

Paul Neiffer — Tue, 07 Sep 2010 07:39:00 GMT

If you sold corn to Verasun within 90 days of its bankruptcy, you may have to pay some of it back to them.

Better Investment - Farmland or Stocks?

Paul Neiffer — Thu, 09 Sep 2010 17:09:00 GMT

What has been the better investment over the last 20 or 40 years, farmland or stocks?

Is an Unlimited Estate Tax Exemption for Farm Estates Harmful?

Paul Neiffer — Fri, 10 Sep 2010 08:52:00 GMT

Would an unlimited estate tax exemption for farmland be harmful to farmers?

Cotton Rallies to 15 Year High

Paul Neiffer — Wed, 15 Sep 2010 07:02:00 GMT

Due to cold weather in China, cotton prices have rallied to a 15 year high and will probably go much higher

What is a "Super Juice"?

Paul Neiffer — Thu, 16 Sep 2010 10:59:00 GMT

Companies are claiming their juices are healthier than orange and other old style juices.

Begin to Lock in 2011 and 2012 Profits?

Paul Neiffer — Fri, 17 Sep 2010 09:52:00 GMT

With corn prices above $5, is it time to start locking in your profits for the 2011 and 2012 crop?

This Land of Ag Diversification

Paul Neiffer — Tue, 21 Sep 2010 08:07:00 GMT

On a recent trip though the Pacific Northwest, I notice all of the different types of farm products grown in this region.

Farm Tax Resources

Paul Neiffer — Wed, 22 Sep 2010 08:15:00 GMT

A listing of some farm income tax resources that I have found.

Wall Street Press Pays Attention to Ag Commodities

Paul Neiffer — Thu, 23 Sep 2010 09:58:00 GMT

As ag prices such as wheat and cotton move higher, we notice the extra attention that the Wall Street press pays to them.

How to Time Your Equipment Purchases

Paul Neiffer — Thu, 23 Sep 2010 10:11:00 GMT

We respond to a question from a farmer on when to make equipment purchases.

New Tax "Goodies" Are Here

Paul Neiffer — Fri, 24 Sep 2010 08:41:00 GMT

With the recent passage of the Small Business Jobs Act of 2010, many new tax "goodies" are available.

New Tax Goodies - Updated

Paul Neiffer — Sat, 25 Sep 2010 11:06:00 GMT

An observant reader notices an error in my last post and I update the post.

IRS Updates List of Extreme Drought Counties

Paul Neiffer — Tue, 28 Sep 2010 13:38:00 GMT

IRS issues 5th update of extreme drought areas for extended livestock replacement period.

Pakistani Floods Destroy Over $3 Billion in Crops

Paul Neiffer — Tue, 28 Sep 2010 20:34:00 GMT

The recents floods in Pakistan have destroyed over $3 billion of rice, sugar cane and cotton crops and the losses may go higher

Some CPA Humor

Paul Neiffer — Wed, 29 Sep 2010 09:04:00 GMT

Some CPA humor that you may find entertaining.

The 3.8% Sales Tax on Home Sales

Paul Neiffer — Wed, 29 Sep 2010 09:31:00 GMT

I have received many e-mails over the internet regarding a 3.8% sales tax on home sales starting in 2013. This is incorrect, however, there is an additional income tax surtax that may apply.

Get Ready for Billions of Form 1099s

Paul Neiffer — Sun, 03 Oct 2010 19:05:00 GMT

Starting in 2012, farmers will be required to issue form 1099 for almost all purchases exceeding $600.

Consider Taking Dividends Now

Paul Neiffer — Tue, 05 Oct 2010 10:22:00 GMT

If you own a corporation with taxable retained earnings, you may want to consider taking a dividend this year to take advantage of the 15% top rate.

A Battle For Acres

Paul Neiffer — Wed, 06 Oct 2010 09:10:00 GMT

With prices for almost all farm commodities higher, who will win the battle for acres?

Use of Bale Wagon Leads to $9.000 Penalty

Paul Neiffer — Thu, 07 Oct 2010 10:59:00 GMT

The use of a bale wagon on public roads to transport hay from the field to the haystack leads to an $9,000 IRS penalty.

Ag Struggles in 2nd Qtr, How Will the 3rd Qtr Look?

Paul Neiffer — Fri, 08 Oct 2010 07:59:00 GMT

The Minneapolis Federal Reserve reported that credit conditions were somewhat pessimistic in the second quarter. How will the third quarter look?

Remember Your 3 to 1 Ratio!

Paul Neiffer — Fri, 08 Oct 2010 09:04:00 GMT

What is your corn to bean and wheat ratio and how will it affect your planting intentions?

What's Your Contribution Margin?

Paul Neiffer — Fri, 08 Oct 2010 09:29:00 GMT

How do three different price levels affect your farm contribution margin per acre?

Watch Out for the State Disconnect on Tax Depreciation!

Paul Neiffer — Mon, 11 Oct 2010 08:56:00 GMT

Most states do not allow the increased Section 179 deduction or bonus depreciation for 2010.

Dynamic Live Budgeting - Use it to Prosper!

Paul Neiffer — Tue, 12 Oct 2010 09:58:00 GMT

Use a dynamic live budget to run your farm operation and both you and your banker will be very happy!

Dynamic Live Budget - Update

Paul Neiffer — Wed, 13 Oct 2010 08:13:00 GMT

Is there software out there that will handle a dynamic live budget?

Cost Basis Now Reported on Form 1099-B

Paul Neiffer — Thu, 14 Oct 2010 09:37:00 GMT

Starting in 2011, banks and brokerage companies will report cost information on form 1099-B.

Creative Farmer Gets Denied by IRS

Paul Neiffer — Fri, 15 Oct 2010 09:04:00 GMT

A farmer who bought a vineyard tried to allocate part fo the purchase price to an "AVA" and got denied by the IRS.

How to Allocate Your Land Purchase to Maximize Tax Savings?

Paul Neiffer — Sun, 17 Oct 2010 15:09:00 GMT

We respond to a farmer's question on how to allocate his purchase of a new 150 acre farm.

National Cotton Council Responds to Washington Post

Paul Neiffer — Tue, 19 Oct 2010 08:23:00 GMT

The National Cotton Council responded to a misguided article on cotton farmers.

When is a Deposit Income?

Paul Neiffer — Wed, 20 Oct 2010 07:45:00 GMT

We respond to a farmer's question on when do they have to report income for a check received in 2010.

Lock in Low Rates Now

Paul Neiffer — Thu, 21 Oct 2010 08:01:00 GMT

Dr. Micheal Boehlje, farm economics professor at Purdue University indicates this is a great time to lock in current low rates.

Volatility - Is it Your Friend or Enemy?!

Paul Neiffer — Fri, 22 Oct 2010 07:56:00 GMT

How are you reacting to the increased volalitily in ag prices?

Can I Defer Taxes on Equipment Sales?

Paul Neiffer — Fri, 22 Oct 2010 08:54:00 GMT

Can a farmer defer taxes by renting their equipment instead of selling it.

Investors Worry About Accuracy of USDA Reports!

Paul Neiffer — Fri, 22 Oct 2010 09:44:00 GMT

The Wall Street Journal reports that many major investors do not trust the latest USDA reports.

When is a Deposit Income - Part 2

Paul Neiffer — Mon, 25 Oct 2010 08:03:00 GMT

We respond to a reader's question on when a check received at year-end is income.

Farm Exports May Hit a Record in 2010/11

Paul Neiffer — Mon, 25 Oct 2010 18:46:00 GMT

With increasing demand from China and higher prices, farm exports may hit a record next year.

Feed Your Harvest Crew and Deduct It!

Paul Neiffer — Tue, 26 Oct 2010 09:28:00 GMT

Most meals are only 50% deductible, but you can feed your employees on the farm and deduct 100%.

Can a Farmer Elect to Not Report Expenses?

Paul Neiffer — Wed, 27 Oct 2010 09:15:00 GMT

Does the IRS allow to you to not report farm expenses if it would save you money on your tax return?

How to Transfer Equipment to Multiple Parties

Paul Neiffer — Thu, 28 Oct 2010 11:00:00 GMT

When a farmer wants to gift equipment to more than one party, it is better to use an LLC or corporation.

My Idea of a Vacation

Paul Neiffer — Mon, 01 Nov 2010 09:18:00 GMT

I spent some time combining beans last week and this is my idea of a great vacation.

Is China Running Out of Farmland

Paul Neiffer — Tue, 02 Nov 2010 11:10:00 GMT

China needs a mnimum of 120 million hectares of arable land to be self-sufficient in grain production. Have the dropped below this number?

Watch Your P's & Q's on Section 179

Paul Neiffer — Wed, 03 Nov 2010 08:01:00 GMT

A recent Tax Court case shows you how not to take Section 179 on rented farm equipment.

How's Your Sugar High?

Paul Neiffer — Thu, 04 Nov 2010 09:26:00 GMT

With weather issues in Brazil, sugar is setting new 30 year highs.

How to Handle Allocation of Purchase Price

Paul Neiffer — Fri, 05 Nov 2010 09:27:00 GMT

It is important to document properly how a farmer arrives at valuations when selling property to their children.

North Dakota Tops Kansas (In Wheat Production)

Paul Neiffer — Fri, 05 Nov 2010 09:39:00 GMT

North Dakota produced about 15 million more bushels this year than Kansas in wheat production.

Watch Out For Morocco's Phosphate Monopoly

Paul Neiffer — Sun, 07 Nov 2010 17:02:00 GMT

It is now confirmed that Morocco controls about 85% of the world's phosphate supplies. How will that affect our farmers going forward?

When a Deposit Costs You Money?

Paul Neiffer — Sun, 07 Nov 2010 20:36:00 GMT

If you prepay farm expenses at year-end and it is classified as a deposit, you can not deduct the expense.

What is Your 20 Year Plan?

Paul Neiffer — Tue, 09 Nov 2010 12:18:00 GMT

A successful farming operation will set goals and plans for the next 10 to 20 years. Here is a suggestion for how to get started.

Cropland Prices Rise More Than 6%

Paul Neiffer — Sun, 14 Nov 2010 17:43:00 GMT

The Kansas City Federal Reserve reported that non-irrigated crop land values rose more than 6% since September, 2009.

Sugar Drops 20% in Two Days

Paul Neiffer — Sun, 14 Nov 2010 17:53:00 GMT

With a surprise increase in the India crop and China tightening of interest rates, sugar prices drop more than 20% in two days.

Cane, Beet, Corn - What is Sugar?

Paul Neiffer — Mon, 15 Nov 2010 09:04:00 GMT

Food companies are now coming out with products using "real" sugar instead of high fructose corn syrup. What is the feedback on this?

How Might a Rise In Interest Rates Affect Farmland Prices?

Paul Neiffer — Mon, 15 Nov 2010 10:20:00 GMT

With the talk of a potential "bubble" in farmland prices, how might an increase in interest rates affect farmland prices?

What's Your ACRE Payment?

Paul Neiffer — Tue, 16 Nov 2010 07:55:00 GMT

USDA just recently sent out the ACRE payments for 2009 crop.

December 31, 2010 - Date to Make Taxable Gifts

Paul Neiffer — Wed, 17 Nov 2010 21:23:00 GMT

Unless Congress changes the law, December 31, 2010 is the perfect day to make taxable gits.

Betterment - Why Does That Cost Me Money?

Paul Neiffer — Thu, 18 Nov 2010 10:46:00 GMT

When an insurance company replaces parts on equipment due to a fire, they can adjust for any "betterment" they make on the parts.

Farmland Turnover Drops by 50%

Paul Neiffer — Sun, 21 Nov 2010 10:59:00 GMT

The farmland turnover in Nebraska has dropped by at least half versus the long-term trend.

Happy Thanksgiving!

Paul Neiffer — Tue, 23 Nov 2010 13:01:00 GMT

Happy Thanksgiving to all of our readers!

How Will You Transfer the Farm?!

Paul Neiffer — Sun, 28 Nov 2010 21:24:00 GMT

The University of Nebraska posts an article with surprising information about the make up of that's state's farmers.

Don't Let AMT Bite You!

Paul Neiffer — Wed, 01 Dec 2010 12:38:00 GMT

Unless Congress passes an AMT patch soon, you may owe more taxes this year.

Optimize Your Section 179 Deduction!

Paul Neiffer — Fri, 03 Dec 2010 12:55:00 GMT

By timing your farm equipment purchases properly, you may be able to save an extra $125,000 over this year and next.

Does a Machine Shop Qualify for Section 179?

Paul Neiffer — Sun, 05 Dec 2010 11:40:00 GMT

Many farmers assume that a new machine shop or farm shop will qualify for Section 179 which is usually wrong in most cases!

IRS Adds New Form for Health Insurance Credit

Paul Neiffer — Mon, 06 Dec 2010 09:06:00 GMT

IRS issues final guidance on the new health insurance credit, along with new Form 8941 to claim the credit.

IRS Announces 2011 Standard Mileage Rates

Paul Neiffer — Mon, 06 Dec 2010 09:14:00 GMT

The IRS on Friday annouced the standard mileage rates you can use in 2011 for business, charitable, medical and moving purposes.

When Do We Have to Issue a 1099 or W2 to a Grandchild?

Paul Neiffer — Mon, 06 Dec 2010 09:40:00 GMT

One of our readers ask when we have to issue a 1099 or W2 for work performed by a grandchild.

A Deal is Struck on Tax Package

Paul Neiffer — Tue, 07 Dec 2010 09:40:00 GMT

President Obama and the Republicans struck a deal on the extension of the Bush tax rates along with many other "goodies" for farmers.

Which 2010 Estate Tax Election Will You Make?!

Paul Neiffer — Mon, 13 Dec 2010 08:28:00 GMT

If the proposed new tax law passes, you will face an option on filing a 2010 estate.

Coordinate your Section 179 Deduction with Bonus Depreciation

Paul Neiffer — Mon, 13 Dec 2010 08:30:00 GMT

With the increase in Section 179 deduction and bonus depreciation, now more than ever, it is important to coordinate these two deductions.

Another Estate Tax Goody in Proposed Tax Act!

Paul Neiffer — Tue, 14 Dec 2010 08:01:00 GMT

The new proposed tax act will now allow estates to combine the spouses lifetime exemptions which can save an estate at least a $1 million in some cases.

Senate Expected to Pass 2010 Tax Relief Act Today!

Paul Neiffer — Wed, 15 Dec 2010 09:36:00 GMT

The Senate should pass the 2010 Tax Relief Act today and pass it onto the House to vote on.

When is Land Rent Reported as Income?

Paul Neiffer — Wed, 15 Dec 2010 09:44:00 GMT

A reader asked whether land rent is reported under the contract terms or when the rent is received?

Congress Passes Tax Relief Act - President Obama to Sign Soon!

Paul Neiffer — Fri, 17 Dec 2010 10:00:00 GMT

Late last night, Congress passed the 2010 Tax Relief Act and President Obama should sign before Christmas!

Help! When Should I Sell My Land?!

Paul Neiffer — Fri, 17 Dec 2010 10:08:00 GMT

A reader asks whether they should sell their farm land in 2010 or 2011?

President Obama Signs Tax Relief Act!

Paul Neiffer — Sat, 18 Dec 2010 07:56:00 GMT

Yesterday, President Obama signed the Tax Relief Act of 2010.

A Trade-In Can Cost You $15,000 in Taxes!

Paul Neiffer — Sat, 18 Dec 2010 09:21:00 GMT

Most farmers assume doing a trade-in is always the best tax strategy. However, in many cases, it is better to report the gain on the sale of the equipment. We show you how.

Do We Have to Issue a 1099 for the Purchase of Feed?

Paul Neiffer — Tue, 21 Dec 2010 08:40:00 GMT

A reader asks if we have to issue a form 1099 when purchasing feed from another farm?

Lower Income Farm Hands May Owe More Taxes in 2011!

Paul Neiffer — Tue, 21 Dec 2010 08:53:00 GMT

Under the tax bill passed last week, your lower income farm hands may be hit with a tax increase!

World Corn Production Could Double Using US Methods!

Paul Neiffer — Thu, 23 Dec 2010 11:40:00 GMT

The Federal Reserve of Kansas City reports that World Corn Production could easily double by using US corn technology.

Merry Christmas to All of Our Readers!

Paul Neiffer — Thu, 23 Dec 2010 11:46:00 GMT

Wishing a Merry Christmas to all of our readers and a prosperous New Year!

Where Do We Deduct Our Health Insurance Premiums?!

Paul Neiffer — Sun, 26 Dec 2010 17:48:00 GMT

The Small Business Jobs Act of 2010 allowed farmer's personal health insurance premiums allowed as a deduction on form 1040 to also offset self employment tax. We show you where to report this deduction for 2010.

We Answer a Question Regarding Deducted a Used Tractor Purchase in 2010.

Paul Neiffer — Sun, 26 Dec 2010 17:56:00 GMT

A reader wants to know how much of a used tractor cost they can deduct in 2010. We provide an answer.

Top 5 Trend in 2010 - Obama Care!

Paul Neiffer — Mon, 27 Dec 2010 10:44:00 GMT

We will post this week our Top 5 trends for 2010.

Top 5 Trend of 2010 - High Commodity Prices

Paul Neiffer — Tue, 28 Dec 2010 08:07:00 GMT

2010 sees a return of high prices last seen in 2008, however many more commodities are showing high prices in 2010 than 2008.

Can a Farmer Defer Crop Insurance Proceeds?

Paul Neiffer — Tue, 28 Dec 2010 10:34:00 GMT

We answer a question from a farmer about deferring crop insurance proceeds.

Top 5 Trend of 2010 - Equipment Purchase Deduction Options!

Paul Neiffer — Wed, 29 Dec 2010 08:03:00 GMT

With the increase of the Section 179 deduction to $500,000 and the introduction of 100% bonus depreciation, most farmers now can deduct all of their equipment purchases in 2010 and 2011.

Beware Your S Corporation Tax Basis!

Paul Neiffer — Wed, 29 Dec 2010 08:19:00 GMT

With bonus depreciation, some farmers with S corporations may have a large loss this year that they can not deduct with out proper planning.

Top 5 Trend - Estate Tax Law Changes!

Paul Neiffer — Thu, 30 Dec 2010 22:54:00 GMT

We finally have some good changes to the estate tax laws!

Make An Tax Estimate Payment Now?

Paul Neiffer — Wed, 05 Jan 2011 09:10:00 GMT

It may make sense to make an estimated tax payment by January 15, 2011 to give you extra time to file your tax return.

What is a Farm Building?

Paul Neiffer — Fri, 07 Jan 2011 06:43:00 GMT

We had a reader ask what is a farm building?

TEPAP - Day 1

Paul Neiffer — Sun, 09 Jan 2011 23:53:00 GMT

I will be at the TEPAP program all this week hosted by Texas A & M University and will provide posts through out the week.

TEPAP - Day Two

Paul Neiffer — Mon, 10 Jan 2011 16:35:00 GMT

Summary of day two of TEPAP.

Section 179 in multiple businesses

Paul Neiffer — Tue, 11 Jan 2011 16:47:00 GMT

We answer a question regarding taking Section 179 deduction for multiple businesses.

TEPAP - Day 3 morning session

Paul Neiffer — Wed, 12 Jan 2011 07:31:00 GMT

We recap the morning session of day three of the TEPAP conference.

TEPAP - Day 3 Afternoon Session

Paul Neiffer — Wed, 12 Jan 2011 07:52:00 GMT

We recap the afternoon session of day three of the TEPAP conference

TEPAP - Day 4 Morning Session

Paul Neiffer — Wed, 12 Jan 2011 12:04:00 GMT

We recap the morning session of day 4 for the TEPAP conference.

TEPAP - Day 4 Afternoon Session

Paul Neiffer — Wed, 12 Jan 2011 17:20:00 GMT

We recap the afternoon session of day 4 of TEPAP

100% Bonus Depreciation - No Income Limitation!

Paul Neiffer — Thu, 13 Jan 2011 14:36:00 GMT

Unlike the Section 179 deduction, there is no income limitation on 100% bonus depreciation.

TEPAP - Day 5 Morning Session

Paul Neiffer — Thu, 13 Jan 2011 14:40:00 GMT

We recap the morning session of day 5 of TEPAP.

TEPAP - Day 5 Afternoon Session

Paul Neiffer — Thu, 13 Jan 2011 17:23:00 GMT

We recap the afternoon session of Day 5 of TEPAP.

TEPAP - Day 6 Morning Session

Paul Neiffer — Fri, 14 Jan 2011 12:14:00 GMT

We recap the morning session of day 6 of the TEPAP conference.

When To Take Bonus Depreciation?!

Paul Neiffer — Fri, 14 Jan 2011 14:51:00 GMT

We answer a reader's question on when they can take bonus depreciation on a newly constructed machine shed.

TEPAP - Day 6 Afternoon Session

Paul Neiffer — Fri, 14 Jan 2011 16:39:00 GMT

We recap the afternoon session of day 6 of the TEPAP conference.

TEPAP - Final Day

Paul Neiffer — Sat, 15 Jan 2011 09:54:00 GMT

We recap the final day of TEPAP.

TEPAP - Final Conclusions

Paul Neiffer — Tue, 18 Jan 2011 07:31:00 GMT

We recap the TEPAP conference

Machine Sheds Qualify for 100% Bonus Depreciation Too!

Paul Neiffer — Wed, 19 Jan 2011 17:46:00 GMT

A reader asks if machine sheds qualify for 100% bonus depreciation in 2011. We provide an answer.

You Can Pick & Choose on Bonus Depreciation!

Paul Neiffer — Thu, 20 Jan 2011 08:44:00 GMT

A reader asks if they can pick and choose on using bonus depreciation on part of their farm building. The answer is no, however, they do have some other options.

New New - Not New to You!

Paul Neiffer — Fri, 21 Jan 2011 08:33:00 GMT

Even if a farmer acquires a "new" buidling with farmland, it does not qualify for 100% bonus depreciation.

Farmer's Health Insurance Reduces Self-Employment Taxes!

Paul Neiffer — Fri, 21 Jan 2011 09:10:00 GMT

For 2010 only, the deductible self-employed health insurance premiums are allowed as a deduction against self-employment income.

Home Energy Credits on Existing Homes Only!

Paul Neiffer — Sun, 23 Jan 2011 22:02:00 GMT

We answer a reader's question on residential energy credits.

Those Pesky Form 1099s.

Paul Neiffer — Mon, 24 Jan 2011 21:09:00 GMT

We answer another question about the new form 1099 rules.

Tomorrow's Top Producer

Paul Neiffer — Wed, 26 Jan 2011 13:30:00 GMT

I recap the first day of the Top Producer Conference.

Returns Revert Back to the Mean

Paul Neiffer — Thu, 27 Jan 2011 07:44:00 GMT

Over time, as yields and efficiencies increase, the long-term price tends to trend down slightly.

Remember - Section 179 is an Election!

Paul Neiffer — Tue, 01 Feb 2011 14:47:00 GMT

We answer a question reqarding Section 179.

Time for a Fiscal Checkup!

Paul Neiffer — Wed, 02 Feb 2011 21:38:00 GMT

This is the perfect time to switch to accrual accounting.

Are YOu Ready For The Super Bowl of Farming?

Paul Neiffer — Mon, 07 Feb 2011 06:16:00 GMT

Is your farming operation ready to play in the Super Bowl of farming?

Capital Gains Tax Rates for 2011

Paul Neiffer — Tue, 08 Feb 2011 07:58:00 GMT

A reader asks what is the capital gains rate for 2011?

Bred Replacement Heifers Qualify for Bonus Depreciation

Paul Neiffer — Wed, 09 Feb 2011 09:48:00 GMT

We answer a question from a rancher on whether replacement heifers qualify for bonus depreciation.

Exchange of Bare Land Allows for Depreciation on New Property

Paul Neiffer — Sat, 12 Feb 2011 09:28:00 GMT

We answer a question that a reader had regarding an 1031 exchange.

$2 Cotton Can Lead to Bankrupt Farmers!

Paul Neiffer — Tue, 15 Feb 2011 14:29:00 GMT

When times appear to be very good in farming, that may hazardous to your financial health.

Federal Reserve Reports Rapid Rise in Land Values and Farm Income!

Paul Neiffer — Wed, 16 Feb 2011 08:50:00 GMT

The Federal Reserve Board of Kansas City reports a sharp increase in farm land values and net farm income.

Farmer's Tax Due Date - March 1 or April 15?

Paul Neiffer — Mon, 21 Feb 2011 08:20:00 GMT

You may not have to scramble to get your taxes done if you have paid in enough already.

Dairy Producer Continues Expansion into China

Paul Neiffer — Wed, 23 Feb 2011 06:52:00 GMT

The third largest dairy exporter continues their expansion into China.

Another Reason to Use a LLC Versus a Partnership

Paul Neiffer — Mon, 28 Feb 2011 07:19:00 GMT

A court case gives you a reason why to use a LLC or corporation versus a partnership.

Take Advantage of Tax Rate Arbitrage!

Paul Neiffer — Wed, 02 Mar 2011 07:09:00 GMT

In certain situations, an S corporation shareholder can get tax benefits from taking a dividend.

A Guarantee is not S Corporation Basis!

Paul Neiffer — Fri, 04 Mar 2011 12:10:00 GMT

We respond to a reader's question regarding whether guaranteeing bank debt creates basis in a S corporation.

It's Not How Many Times You.....

Paul Neiffer — Mon, 14 Mar 2011 06:15:00 GMT

Just a quick story that might apply to our farmers

Defer Your Gain

Paul Neiffer — Wed, 16 Mar 2011 06:17:00 GMT

We respond to a reader's question on deferring their gain from selling their farm land.

It is Sales Price - Not Cash in a 1031 Exchange

Paul Neiffer — Mon, 21 Mar 2011 07:28:00 GMT

We respond to a follow up question on Section 1031 tax-deferred exchanges.

Goodby Pesky New 1099 Reporting

Paul Neiffer — Wed, 06 Apr 2011 11:41:00 GMT

The Senate yesterday passed a bill to eliminate the new form 1099 filing requirements. President Obama is expected to sign it soon.

Deduct Your Tiling This Year

Paul Neiffer — Mon, 11 Apr 2011 07:59:00 GMT

2011 provides a great opportunity to deduct all new tiling costs.

It's Total Farm Compensation - Not Wages - That Counts

Paul Neiffer — Mon, 25 Apr 2011 13:02:00 GMT

Make sure that your employees understand what their total compensation package is on an annual basis.

Don't Taint Your Farm Building

Paul Neiffer — Wed, 27 Apr 2011 08:34:00 GMT

If you are planning on erecting a new farm building, make sure not to taint it with non-farm activities.

If the Bubble Busts, How Long to Recover

Paul Neiffer — Thu, 28 Apr 2011 17:47:00 GMT

We review the price history of good farm land to see how long it might take to recover from a bubble.

If Grain Markets Are Topping, Start Locking in Profits

Paul Neiffer — Mon, 02 May 2011 08:06:00 GMT

If you have not locked in any profits for this year or next, make sure to consider doing in these favorable market conditions.

Watch Your Date of New Construction

Paul Neiffer — Thu, 12 May 2011 08:10:00 GMT

The IRS has thrown us a curveball on the date of new construction of farm buildings to qualify for 100% bonus depreciation

Plan Your Gifts for 2011 and 2012

Paul Neiffer — Mon, 16 May 2011 09:14:00 GMT

With the increase in the lifetime gift exclusion to $5 million, 2011 and 2012 is a great time to make gifts of farm land and other appreciating assets.

Are You Ready For The Whipsaw?

Paul Neiffer — Tue, 17 May 2011 08:23:00 GMT

Dont' let the whipsaw in commodity prices lose you money.

Components May Qualify for 100% Bonus Depreciation

Paul Neiffer — Wed, 18 May 2011 08:36:00 GMT

Even if you start the construction of a new Ag building before September 9, 2010, parts of it may still qualify for 100% bonus depreciation.

Are High Wheat Prices Contributing to Mideast Turmoil?

Paul Neiffer — Fri, 20 May 2011 08:08:00 GMT

High wheat prices are good for American farmers, but it may be causing pain to Mideast countries.

Don't Be A Hobby Farm!

Paul Neiffer — Mon, 23 May 2011 09:10:00 GMT

The tax laws are unfavorable to hobby farms, so try not to be one.

Retail Coffee Prices Increase by 38% in Last Year

Paul Neiffer — Wed, 25 May 2011 10:31:00 GMT

With the announcement by Smuckers that they have just raised their retail coffee prices for Folgers coffee by 11%, the total increase for the past year is over 38%.

Tidbits From the Kansas City Fed - Part 1

Paul Neiffer — Wed, 01 Jun 2011 08:24:00 GMT

Over the next few days we will share some interesting tidbits from a report from the Kansas City Federal Reserve.

Tidbits From the Kansas City Fed - Part 2

Paul Neiffer — Thu, 02 Jun 2011 11:39:00 GMT

We continue our tidbits from a recent report from the Kansas City Fed

2011 Capital Gains Tax Rates

Paul Neiffer — Mon, 06 Jun 2011 08:57:00 GMT

We give an update on what the tax rates are for 2011 on capital gains.

How Does Depreciation Recapture Work?

Paul Neiffer — Tue, 07 Jun 2011 09:31:00 GMT

We review a reader's question on how depreciation recapture works.

Tools to Help You Make a Decision on What to Plant

Paul Neiffer — Mon, 13 Jun 2011 06:27:00 GMT

If the bad weather has prevented you from planting, here are a couple of tools to help you make the correct decision.

Get Cash in 2011, Pay Tax in 2013

Paul Neiffer — Wed, 15 Jun 2011 14:47:00 GMT

A farmer can take advantage of a "1031" exchange to defer paying tax until 2013 under certain circumstances.

When Are My Agricultural Options Taxed?

Paul Neiffer — Thu, 16 Jun 2011 07:39:00 GMT

We respond to a reader's question on how ag futures options are taxed.

Supreme Court To Decide Tax Spat Between Circuit Courts

Paul Neiffer — Thu, 16 Jun 2011 08:49:00 GMT

The Supreme Court has decided to make a decision on which Court is correct about the tax priority of capital gains taxes in a Chapter 12 farm bankruptcy.

Golf Course Falls Victim to High Grain Prices

Paul Neiffer — Thu, 16 Jun 2011 16:17:00 GMT

A nine hole golf course in Iowa is plowed under since the new owner can make more money as a farmer than a golf course operator.

Women Own 47% of Iowa Farm Land

Paul Neiffer — Sun, 19 Jun 2011 18:24:00 GMT

Women now own almost 50% of Iowa farm land.

China Companies Continue to Buy Up Farm Land

Paul Neiffer — Tue, 21 Jun 2011 07:26:00 GMT

Chinese companies intend to purchase or control over 1 million new acres of farm land in South America this year.

Question on What is a Hedge?

Paul Neiffer — Wed, 22 Jun 2011 18:45:00 GMT

We answer a reader's question on what is a hedge and how it is tax after our post from last week.

Ethanol Industry Will Remain Vibrant With Out Tax Credit

Paul Neiffer — Thu, 23 Jun 2011 17:41:00 GMT

A CEO of an Ethanol company says industry will be just fine with out the 45 cent a gallon blender tax credit.

What's Your RLU?

Paul Neiffer — Fri, 01 Jul 2011 15:18:00 GMT

Do you know how much farm revenue is needed to support one family unit?

Check Your FUTA Wages!

Paul Neiffer — Mon, 04 Jul 2011 09:50:00 GMT

The FUTA tax will decrease by .2% starting July 1, 2011. This means you have to keep track of wages before and after this date.

Extra Year for "Prairie Pothole States"

Paul Neiffer — Tue, 05 Jul 2011 19:10:00 GMT

USDA has changed the rules to allow many farmers in the "Prairie Pothole States" to obtain prevented planting insurance for 2012

Watch For The State Tax Grab!

Paul Neiffer — Thu, 07 Jul 2011 11:22:00 GMT

More and more states are eliminating tax exemptions that farmers have enjoyed for many years.

Mexico to End Tariffs on Fruit & Other Ag Products

Paul Neiffer — Fri, 08 Jul 2011 09:25:00 GMT

Effective July 6, 2011, the US and Mexico have reached an agreement to eliminate Mexico's tariffs on our Ag products.

Dying Days of Ethanol Subsidies?

Paul Neiffer — Fri, 08 Jul 2011 10:04:00 GMT

The deficit-reduction plan calls for an elimination of the blender credit subsidy.

Expect Filing Delays of Form 2290 for Many Farmers

Paul Neiffer — Fri, 08 Jul 2011 14:55:00 GMT

The IRS has announced a delay in the new form 2290 filing requirements.

Think Savings Account for Partner's Capital Account

Paul Neiffer — Mon, 11 Jul 2011 07:34:00 GMT

We try to explain the very complicated area of partnership capital accounts.

Calculate Your Monthly Social Security Benefit

Paul Neiffer — Wed, 13 Jul 2011 09:21:00 GMT

The Social Security website has a nifty calculator to let you know what your monthly social security benefit will be under various circumstances.

Wheat Market Update with a Northwest Bent

Paul Neiffer — Thu, 14 Jul 2011 13:05:00 GMT

The Northwest Farm Credit Services has just released their June 30, 2011 report on the Northwest Wheat crop and world wheat market outlook.

The Three Levels of Farm Accounting

Paul Neiffer — Thu, 14 Jul 2011 23:13:00 GMT

We discuss the three levels of farm accounting.

IRS Gives Automatic Three Month Extension to File Form 2290

Paul Neiffer — Mon, 18 Jul 2011 08:57:00 GMT

The IRS has granted an automatic extension until November 30, 2011 to file form 2290 for the period ended June 30, 2011 which is normally the annual return that farmers file for their semi trucks.

What Is The Tax Rate On Gifted Equipment?

Paul Neiffer — Mon, 18 Jul 2011 09:18:00 GMT

We answer a reader's question about what the tax rate would be on the sale of gifted equipment.

How Does Section 1231 Work?

Paul Neiffer — Wed, 20 Jul 2011 08:30:00 GMT

We respond to a reader's question on the tax treatment of the sale of timber land and how Section 1231 works in general.

A Switch in Farm Loan Levels

Paul Neiffer — Thu, 21 Jul 2011 10:39:00 GMT

The Federal Reserve Bank of Kansas City reports interesting trends in farm loans

Batman Was a Farmer!

Paul Neiffer — Thu, 21 Jul 2011 10:43:00 GMT

Here is an article on how Batman was a farmer.

John Deere to Fight For GPS

Paul Neiffer — Mon, 25 Jul 2011 10:23:00 GMT

John Deere is leading the fight against Lightsquared plans for 40,000 new rural cell phone towers

IRS Extends Time for Innocent Spouse Relief

Paul Neiffer — Wed, 27 Jul 2011 08:38:00 GMT

The IRS has extended from two years the time to get relief under the innocent spouse rules

Fresh Garbanzo Beans to Hit the Market This Year

Paul Neiffer — Wed, 27 Jul 2011 09:17:00 GMT

Farmers in the Walla Walla area are harvesting about 1,000 acres of garbanzo beans for the fresh frozen market for the first time.

The Pacific NW Wheat Harvest is Late!

Paul Neiffer — Sat, 30 Jul 2011 11:47:00 GMT

My wife and I took a two day motorcycle ride and noted the very late wheat harvest in the Pacific Northwest.

Farm Financial Standards Council Annual Conference

Paul Neiffer — Mon, 01 Aug 2011 08:12:00 GMT

I will be attending the annual conference for the Farm Financial Standards Council and will be presenting an one hour seminar on hot tax topics for ag producers. I will be posting through out the conference.

Day 1 of the FFSC

Paul Neiffer — Wed, 03 Aug 2011 10:00:00 GMT

A brief recap of the first day of FFSC

Day Two of FFSC (Session Two)

Paul Neiffer — Wed, 03 Aug 2011 10:01:00 GMT

Recap of Danny Klinefelters discussion on Peer Groups

Day 2 of FFSC (Session 3)

Paul Neiffer — Wed, 03 Aug 2011 11:46:00 GMT

Dr. Barry Dunn of South Dakota State University discusses the appropriate use of management dashboards

FFSC - Day 2 (Session Five)

Paul Neiffer — Wed, 03 Aug 2011 15:34:00 GMT

The application of FFSC guidelines in today's Ag lendng world.

FFSC - Day Two (Session Six)

Paul Neiffer — Wed, 03 Aug 2011 16:52:00 GMT

We end the day with a presentation on the soybean industry in Brazil.

Motorcycle Trip Along the Minnesota River

Paul Neiffer — Mon, 08 Aug 2011 07:22:00 GMT

A brief review of our motorcycle trip along the Minnesota River valley in Southern Minnesota.

Corn Price is Now Higher Than Wheat!

Paul Neiffer — Wed, 10 Aug 2011 21:12:00 GMT

Due to several major factors, corn prices on some days are now higher than wheat.

The Dates for 100% Bonus Depreciation

Paul Neiffer — Thu, 11 Aug 2011 18:38:00 GMT

We respond to a reader on the key dates for bonus depreciation in 2011.

Will The IRS Want Your Accounting Software File?!!!

Paul Neiffer — Sun, 14 Aug 2011 19:14:00 GMT

A recent Florida Court case grants the IRS the ability to demand a backup of accounting software for full review.

Harvesting Good Wheat on Steep Hills

Paul Neiffer — Tue, 16 Aug 2011 08:09:00 GMT

I spent a couple of days harvesting wheat near Dixie, Wash.

Hillside Combining Part 2

Paul Neiffer — Wed, 17 Aug 2011 09:22:00 GMT

We update you on how steep these hills that we harvest can be.

Where Did The Million Acres of Wheat Go?

Paul Neiffer — Thu, 18 Aug 2011 13:44:00 GMT

The Wall Street Journal reports on updated data from FSA that contradicted the NASS numbers.

IRS Required Interest Rates Nearing All Time Low!

Paul Neiffer — Fri, 19 Aug 2011 09:52:00 GMT

The IRS just relased the required minimum interest rates to be charged on loans and they are getting very low.

Active Offsets Passive - Passive Does Not Offset Active

Paul Neiffer — Fri, 19 Aug 2011 10:03:00 GMT

We respond to a readers question regarding increasing a farm loss to offset income from a gas lease

Midwest Crop Tour - Day One

Paul Neiffer — Tue, 23 Aug 2011 06:08:00 GMT

We recap our first day on the Midwest Crop Tour

Midwest Crop Tour - Day Two

Paul Neiffer — Tue, 23 Aug 2011 16:37:00 GMT

We recap Day 2 on the Midwest Crop Tour

Midwest Crop Tour - Day 3

Paul Neiffer — Thu, 25 Aug 2011 14:28:00 GMT

We recap our route on the Midwest Crop Tour on Wednesday.

Midwest Crop Tour - Final Day

Paul Neiffer — Thu, 25 Aug 2011 22:52:00 GMT

We report on the final day of the Midwest Crop Tour.

My Reflections on the Midwest Crop Tour

Paul Neiffer — Mon, 29 Aug 2011 07:38:00 GMT

I reflect on what I found on the Midwest Crop Tour.

Depletion - The Greater of Cost or Percentage!

Paul Neiffer — Mon, 29 Aug 2011 09:15:00 GMT

We respond to a reader's question about depletion on an inherited oil well on farmland in Kansas.

Less Than Four Months to get New Farm Buildings Finished!

Paul Neiffer — Tue, 06 Sep 2011 09:47:00 GMT

Farmers only have until the end of 2011 to finish any new farm building to take advantage of the 100% bonus depreciation deduction on their 2011 tax return.

Watch for a State Capital Gains Deduction for the Sale of Farm Assets

Paul Neiffer — Thu, 08 Sep 2011 06:42:00 GMT

We answer a reader's question about the deduction for capital gains in Iowa.

Land Is Not Deductible!

Paul Neiffer — Mon, 12 Sep 2011 09:49:00 GMT

We answer a reader's question about deducting the cost of farmland.

Canadian Farmers Vote to Keep Monopoly!

Paul Neiffer — Wed, 14 Sep 2011 09:39:00 GMT

In a vote relased this week, Canadian wheat and barley farmers vote to keep their Canadian Wheat Board monopoly, however, the government still plans on ending it.

Goodby Pesky Logs for Cell Phone Use!

Paul Neiffer — Wed, 14 Sep 2011 16:19:00 GMT

The IRS just released a notice regarding the elimination of the requirement for logs of cell phone use by employees.

What Is Your Total Capital Gains Tax Rate?

Paul Neiffer — Fri, 16 Sep 2011 11:03:00 GMT

We outline what your total capital gains tax rate might be on the sale of farmland.

Three Years to Reinvest Condemned Farmland!

Paul Neiffer — Mon, 19 Sep 2011 09:43:00 GMT

We answer a reader's question about how long he has to reinvest his proceeds from the condemnation of his farmland for a new road.

What if I Don't Reinvest?!

Paul Neiffer — Tue, 20 Sep 2011 09:44:00 GMT

We answer a follow up question from our reader regarding not reinvesting the proceeds from his condemnation.

Cattle Prices Are Posting New Highs!

Paul Neiffer — Wed, 21 Sep 2011 06:28:00 GMT

Due to the continued drought in the American Southwest, cattle prices are at all time highs.

You May Want to Unwind Your Roth Conversion

Paul Neiffer — Fri, 23 Sep 2011 12:13:00 GMT

If you converted your regular IRA to a ROTH last year and filed an extension for this year, you have until October 17, 2011 to unwind the conversion.

If You Reconvert - You Lose Your Spread to 2011 and 2012

Paul Neiffer — Sun, 25 Sep 2011 12:04:00 GMT

We respond to a reader's follow up question on ROTH IRA reconversions.

What's My Gift Limit?

Paul Neiffer — Tue, 27 Sep 2011 19:44:00 GMT

We respond to a reader's question on gift taxes.

How Would You Like to Have 16,958 Landlords?

Paul Neiffer — Wed, 28 Sep 2011 20:51:00 GMT

A European farm company manages almost 17, 000 landlords in the Ukraine.

We Are Blessed with a Great Industry

Paul Neiffer — Thu, 29 Sep 2011 16:03:00 GMT

Just a quick moment to say thanks for working in the best industry in the world (in my opinion).

IRS Program to Sniff Out Gift Tax Cheats!

Paul Neiffer — Thu, 29 Sep 2011 17:09:00 GMT

The IRS has initiated a program to go after taxpayers who have not reported gifts of real estate to relatives, etc.

Gifts of Farm Commodities

Paul Neiffer — Sun, 02 Oct 2011 17:25:00 GMT

We answer a reader's question about gifting farm commodities.

If It Sounds Too Good to Be True -- It Usually Is!

Paul Neiffer — Wed, 05 Oct 2011 10:10:00 GMT

In two recent Tax Court cases, taxpayers ended up owing a substantial amount of money based on erroneous advice.

Senate Proposes Some Farm Tax Savings In Millionaire Surtax Bill

Paul Neiffer — Mon, 10 Oct 2011 07:17:00 GMT

The American Jobs Act proposed last week by the Senate has several tax saving provisions for our farmers.

Watch Your Section 179 Deduction from Multiple Entities!

Paul Neiffer — Tue, 11 Oct 2011 07:20:00 GMT

Watch out for Section 179 flowing through to you in excess of the limits. The excess is permanently lost.

The Ultimate Farm Trip

Paul Neiffer — Thu, 13 Oct 2011 06:29:00 GMT

I will finally get to go on my farm trip starting Sunday.

Driving or Running a Combine - It is Still FUN!

Paul Neiffer — Fri, 14 Oct 2011 18:27:00 GMT

I have been teased about my use of the term "driving a combine" and respond accordingly.

How Does My State Treat Bonus Depreciation?

Paul Neiffer — Wed, 26 Oct 2011 07:36:00 GMT

We provide a handy table showing how each state handles bonus depreciation.

Buildings Must Be On The Depreciation Schedule!

Paul Neiffer — Mon, 31 Oct 2011 09:00:00 GMT

We respond to a reader's questing regarding 100% bonus depreciation on a new building.

IRS Releases New Inflation Adjusted Tax Related Items

Paul Neiffer — Tue, 01 Nov 2011 08:32:00 GMT

With Revenue Procedure 2011-52, the IRS has released a list of the items affected by inflation for 2012 such as personal exemptions, standard deductions, etc.

How the Sale of a Part Interest in a Tractor is Handled?

Paul Neiffer — Wed, 02 Nov 2011 07:32:00 GMT

We respond to a reader's question on how to report the sale of an half interest in a tractor.

Some IRA Guidance

Paul Neiffer — Thu, 03 Nov 2011 09:28:00 GMT

We update you on the 2012 IRA numbers, etc.

Watch Out For Two Classes of Stock in an S Corporation!

Paul Neiffer — Mon, 07 Nov 2011 05:46:00 GMT

Many farmers get tripped up by paying dividends out of an S corporation on a non-pro-rata basis. Make sure this does not happen to you.

Watch Out For Sales to Related Parties!

Paul Neiffer — Wed, 09 Nov 2011 07:40:00 GMT

You may think you can deduct a loss on a sale to related party. The IRS says otherwise.

Watch Out For Sales to Related Parties - Part 2

Paul Neiffer — Thu, 10 Nov 2011 09:36:00 GMT

We update our post on related parties sales for an error made in our examples.

Sustainability Test - Part 1

Paul Neiffer — Mon, 14 Nov 2011 08:09:00 GMT

Take the Sustainablity Test to see where your farm is at and what steps you need to take.

Sustainability Test - Part 2

Paul Neiffer — Tue, 15 Nov 2011 08:15:00 GMT

We continue the questions on your farm's sustainability.

Sustainability Test - Part 3

Paul Neiffer — Wed, 16 Nov 2011 10:12:00 GMT

We ask the final three questions of the sustainability test today.

Tri State Grain Growers Convention

Paul Neiffer — Thu, 17 Nov 2011 10:16:00 GMT

We are doing a booth at the Tri State Grain Growers Convention and invite any of our readers to stop by and say hi.

Have a Happy Thanksgiving!

Paul Neiffer — Tue, 22 Nov 2011 08:38:00 GMT

We wish everybody a Happy Thanksgiving!

Should You Switch Your LIBOR Debt?

Paul Neiffer — Mon, 28 Nov 2011 06:08:00 GMT

If farmers have debt tied to LIBOR, they should consider switching to another index.

New Tax Education Program for Farmers

Paul Neiffer — Tue, 29 Nov 2011 07:03:00 GMT

The USDA-RMA and several universities announce a new site to help farmers with their tax planning needs.

Check Your Beneficiary!

Paul Neiffer — Wed, 30 Nov 2011 06:37:00 GMT

We relay a story about the problem with life insurance beneficiary designations.

Executive Women in Agriculture - Day 1

Paul Neiffer — Thu, 01 Dec 2011 21:14:00 GMT

I recap my first day at the conference

Executive Women in Agriculture Conference - Recap

Paul Neiffer — Sun, 04 Dec 2011 07:03:00 GMT

I recap my thoughts on the first annaul conference on Executive Women in Agriculture that I attended and spoke at in Chicago.

Don't Forget the New Veterans' Tax Credit!

Paul Neiffer — Mon, 05 Dec 2011 09:05:00 GMT

For eligible veterans hired after Nov. 21, 2011, and before Jan. 1, 2013, a tax credit of up to $5,600 for each veteran can be taken.

It Might Not Pay to Do Equipment Trade-in

Paul Neiffer — Tue, 06 Dec 2011 05:49:00 GMT

Under many circumstances, it pays not to do an equipment trade-in, but watch for sales tax issues.

Some Questions about Section 179

Paul Neiffer — Wed, 07 Dec 2011 07:39:00 GMT

We answer a reader's questions about Section 179.

Will We See 100% Bonus Depreciation in 2012?

Paul Neiffer — Mon, 12 Dec 2011 09:10:00 GMT

We respond to a reader's question on whether we will have 100% bonus depreciation in 2012.

Year-End Equipment Flexibility

Paul Neiffer — Tue, 13 Dec 2011 08:59:00 GMT

We respond to a reader's question on when to depreciate a tractor bought at year-end.

IRS Announces New Standard Mileage Rates

Paul Neiffer — Wed, 14 Dec 2011 08:35:00 GMT

The IRS announced this week the new standard mileage rates.

Think about Paying a Tax Estimate on Jan. 17

Paul Neiffer — Thu, 15 Dec 2011 08:54:00 GMT

Most farmers try to pay their tax by March 1. In many cases, this might be the wrong thing to do.

What Happens If I Don't Know My Cost Basis?

Paul Neiffer — Fri, 16 Dec 2011 10:57:00 GMT

We respond to a reader's question regarding not having the cost basis on some land that was sold.

Get Ready for the Payroll Tax Teeter-Totter!

Paul Neiffer — Mon, 19 Dec 2011 08:24:00 GMT

If the payroll tax cut gets passed too late, it may cause your first payroll to be wrong.

Use a CRT for Retirement Equipment Sales

Paul Neiffer — Tue, 20 Dec 2011 07:00:00 GMT

We respond to a readers question on the sale of equipment for retirement.

Use of a CRT for Retirement Income - Update

Paul Neiffer — Wed, 21 Dec 2011 07:33:00 GMT

We update our post from yesterday.

For Building to Qualify for 100% Bonus Depreciation It Must Be Complete in 2011

Paul Neiffer — Fri, 23 Dec 2011 17:00:00 GMT

We respond to a readers question on bonus depreciation on a building.

Payroll Tax Cut Extended For Two Months - Sortof!

Paul Neiffer — Sat, 24 Dec 2011 09:12:00 GMT

President Obama signed yesterday the extension of the payroll tax cut for the first two months of 2012. However, for some workers, this may end costing them more money or having no benefit.

When Do I Report My Crop Insurance Proceeds?

Paul Neiffer — Tue, 27 Dec 2011 19:22:00 GMT

We answer a readers question on when to defer reporting crop insurance proceeds.

Crop Insurance Proceeds - Update

Paul Neiffer — Thu, 29 Dec 2011 10:36:00 GMT

A reader asks for clarification on our post about deferring crop insurance proceeds.

Happy New Year!

Paul Neiffer — Fri, 30 Dec 2011 08:54:00 GMT

We wish all of our readers a Happy and Prosperous New Year!

Estimated Taxes -- Update

Paul Neiffer — Tue, 03 Jan 2012 08:57:00 GMT

We do an update on your estimated tax requirement and why it might not be a good thing to file by March 1.

Is It 15, 16, 17 or Even 18?

Paul Neiffer — Wed, 04 Jan 2012 08:51:00 GMT

We explain what happens with tax filing due dates if they occur on a weekend or holiday.

All-Time-Low Interest Rates!

Paul Neiffer — Thu, 05 Jan 2012 07:17:00 GMT

IRS issues minimum interest rates for January 2012, and they are at all-time lows!

Some Interesting Farm Export Facts

Paul Neiffer — Mon, 09 Jan 2012 06:35:00 GMT

A recap of some of the farm export facts put out by the Federal Reserve Bank of Kansas City each year.

More Farm Export Facts

Paul Neiffer — Tue, 10 Jan 2012 10:34:00 GMT

We highlight some more farm export facts from the Kansas City Federal Reserve Ag Symposium.

Don't Forget Your New HIRE Credit!

Paul Neiffer — Thu, 12 Jan 2012 07:18:00 GMT

If you meet certain qualifications, you may earn a $1,000 tax credit per eligible employee to offset your 2011 income tax.

The Billion Dollar Counties

Paul Neiffer — Sun, 15 Jan 2012 21:08:00 GMT

We list the counties in the US with more than $1 billion in farm sales from the 2007 Ag census.

Is This Farm Boom Different?!

Paul Neiffer — Wed, 18 Jan 2012 08:50:00 GMT

We recap a paper from the Kansas City Fed on whether this farm boom is different or not.

Reminder on Your Form 940!

Paul Neiffer — Thu, 19 Jan 2012 07:18:00 GMT

If you farm in certain states you will owe more in federal unemployment taxes this year.

What's New on the Form 1120 for 2012

Paul Neiffer — Fri, 20 Jan 2012 09:51:00 GMT

We recap the new changes to form 1120 for this year.

It's All or None on Deferred Sales Contracts

Paul Neiffer — Sun, 22 Jan 2012 11:24:00 GMT

We respond to a reader's question on how much grain sales they can accelarate into 2011 from 2012.

Deferred Grain Sales Update

Paul Neiffer — Mon, 23 Jan 2012 13:30:00 GMT

Some of my terminology was confusing from my last post, so I am posting an update.

Rural Mainstreet Index Remains Strong - But Is It Topping Out?

Paul Neiffer — Tue, 24 Jan 2012 08:57:00 GMT

The Creighton University rural mainstreet index sets a four year record, but is it topping out?

Watch Out for FUTA and SUTA!

Paul Neiffer — Thu, 26 Jan 2012 09:48:00 GMT

If you are not careful on how you pay yourself, it can cost you.

Don't Forget the 2011 SE Tax Changes!

Paul Neiffer — Fri, 27 Jan 2012 06:47:00 GMT

There have been a couple of SE tax changes for 2011 tax returns.

See You in Chicago!

Paul Neiffer — Sun, 29 Jan 2012 10:26:00 GMT

I look forward to seeing as many readers of the blog in Chicago for the Top Producer Conference.

Tomorrow's Top Producer Recap

Paul Neiffer — Tue, 31 Jan 2012 18:02:00 GMT

I recap the Tomorrow's Top Producer conference in Chicago.

Top Producer Seminar - Day 1

Paul Neiffer — Wed, 01 Feb 2012 19:08:00 GMT

I recap my first day at the Top Producer Seminar in Chicago.

Top Producer Seminar - Day 2

Paul Neiffer — Fri, 03 Feb 2012 07:20:00 GMT

I recap day 2 of the Top Producer Seminar.

What Happens If Bonus Depreciation Stops?

Paul Neiffer — Mon, 06 Feb 2012 06:43:00 GMT

We give our opinion on what happens if bonus depreciation stops.

Not All Farmland Values are Going Up!

Paul Neiffer — Tue, 07 Feb 2012 17:56:00 GMT

Some farmland values across the US have actually gone down over the last year.

Some Interesting Dairy Cow Facts

Paul Neiffer — Thu, 09 Feb 2012 08:02:00 GMT

We recap some facts about dairy cows from the 2007 USDA farm census

Be Careful When You Value Conservation Easements!

Paul Neiffer — Mon, 13 Feb 2012 05:51:00 GMT

A recent court case indicates that the IRS will win a valuation standoff if the farmer is not careful.

Almost All Crop Production Was Down in 2011

Paul Neiffer — Tue, 14 Feb 2012 08:56:00 GMT

We summarize the data from USDA showing most crop production was lower in 2011 than 2010.

Don't Forget Farm Income Averaging

Paul Neiffer — Thu, 16 Feb 2012 18:23:00 GMT

With the March 1 farm tax due date rapidly approaching, make sure you do not forget farm income averaging to save taxes.

Congress Extends 2% Payroll Tax Cut Till the End of 2012

Paul Neiffer — Mon, 20 Feb 2012 05:12:00 GMT

Congress last week passed a bill to extend the 2% payroll tax cut until December 31, 2012

Update on 2021 Apple Production

Paul Neiffer — Tue, 21 Feb 2012 08:14:00 GMT

We recap the apple variety production for 2021

MF Global Loss (If Any) Will Be Deductible in 2012, Not 2011

Paul Neiffer — Wed, 22 Feb 2012 20:11:00 GMT

We respond to a reader's question on what to do with a possible MF Global loss.

Production Down, Income Up in 2011

Paul Neiffer — Sun, 26 Feb 2012 21:07:00 GMT

Although production of most major crops was down in 2011, income levels were up almost across the board.

The $5 Billion Corn States

Paul Neiffer — Tue, 28 Feb 2012 05:44:00 GMT

We recap some production statistics for 2011.

Join Us at the Commodity Classic

Paul Neiffer — Wed, 29 Feb 2012 20:14:00 GMT

I'm heading out to Nashville to attend this year's Commodity Classic. If you are attending, I hope to see you there.

My First Tornado Warning!

Paul Neiffer — Mon, 05 Mar 2012 05:41:00 GMT

I recap my time at the Commodity Classic and my first tornado warning.

You Have 15 Months to Make a Portability Election!

Paul Neiffer — Tue, 06 Mar 2012 06:54:00 GMT

The IRS just announced an automatic 15-month period to make an estate tax portability election.

Top Estate Planning Mistakes Farmers Make - Part 1

Paul Neiffer — Thu, 08 Mar 2012 07:38:00 GMT

We recap some of the mistakes farmers make in estate planning

Top Estate Planning Mistakes Farmers Make - Part 2

Paul Neiffer — Fri, 09 Mar 2012 08:20:00 GMT

We continue our post from yesterday on top estate planning mistakes that farmers make.

Top Estate Planning Mistakes Farmers Make - Part 3

Paul Neiffer — Mon, 12 Mar 2012 07:57:00 GMT

We conclude our series on top estate planning mistakes that farmers make.

One Month To Go!

Paul Neiffer — Sun, 18 Mar 2012 20:20:00 GMT

There is only one month to go until tax due date is here.

If it Walks and Quacks Like a Duck, It is Probably a Duck

Paul Neiffer — Wed, 21 Mar 2012 05:56:00 GMT

A recent court case shows how a taxpayer can get too aggressive in some planning areas.

Reprieve for Farmers Filing Late Due to MF Global

Paul Neiffer — Fri, 23 Mar 2012 16:17:00 GMT

IRS just announced a method to get a waiver of the underpayment filing penalty if it is due to MF Global

Number of Farms Gets Smaller, But They Produce More

Paul Neiffer — Tue, 27 Mar 2012 05:06:00 GMT

We report on one example of this trend.

Intended Corn Acres Plantings Up over 7 Million Acres in Two Years!

Paul Neiffer — Fri, 30 Mar 2012 07:47:00 GMT

The USDA intended plantings report just issued has some surprises on intended acres plantings for corn and beans.

Elimination of Estate Tax Bill is Proposed in the Senate

Paul Neiffer — Mon, 02 Apr 2012 07:56:00 GMT

A bill to eliminate the estate tax is introduced in the Senate. It faces a big up hill battle.

The Backdoor Roth IRA

Paul Neiffer — Sat, 07 Apr 2012 08:47:00 GMT

If your income level is high, you can still do a ROTH by following a couple of rules.

Deferred Sales Contracts

Paul Neiffer — Wed, 11 Apr 2012 05:55:00 GMT

We answer a readers question about deferring receipt of 2012 crop sales into 2013.

The End of Tax Season!

Paul Neiffer — Tue, 17 Apr 2012 18:35:00 GMT

Today is the official end of the 2012 tax season and we thank our readers for their questions during the season.

The Iowa Farmland Premium

Paul Neiffer — Wed, 25 Apr 2012 06:06:00 GMT

I recap my Tuesday in the Midwest.

What Is the Right Equipment Size?

Paul Neiffer — Thu, 26 Apr 2012 05:33:00 GMT

I recap a meeting I had with Chris Barron on the tractor on Wednesday.

Maximize Your Farmland Revenue!

Paul Neiffer — Fri, 27 Apr 2012 07:31:00 GMT

I recap my meeting with a farmer in northern Illinois yesterday.

Sometimes You Lose when You Win!

Paul Neiffer — Mon, 30 Apr 2012 08:55:00 GMT

We recap a recent Tax Court case where the taxpayers won regarding a Section 1031 tax-deferred exchange case, but lost a lot of money due to lousy record-keeping and miscommunication with their tax adviser.

The Pace of Planting

Paul Neiffer — Tue, 01 May 2012 18:29:00 GMT

I recap my observations on corn planting progress from my trip last week.

States Want Their Share of Taxes on Gambling Winnings

Paul Neiffer — Wed, 02 May 2012 10:03:00 GMT

We recap a tax bulletin on what the state of Wisconsin considers to be gambling winnings and how that might differ from your opinion.

Social Security Wage Base Expected to Be $113,700 in 2013

Paul Neiffer — Thu, 03 May 2012 07:04:00 GMT

We recap the latest Social Security trustees report.

What "Exhausted" Means for Social Security

Paul Neiffer — Thu, 03 May 2012 12:38:00 GMT

We respond to a reader's question about what "exhausted" means for Social Security.

Maximum Section 179 Remains at $500,000 for Many Farmers

Paul Neiffer — Tue, 08 May 2012 10:23:00 GMT

If a farmer has a fiscal C corporation that begins in 2011, the maximum Section 179 remains at $500,000.

Make Sure the Trust Owns the Property!

Paul Neiffer — Wed, 09 May 2012 07:27:00 GMT

We respond to a reader's question on who needs to own the property when using a charitable remainder trust.

IRS Notices Will Now be in "English"

Paul Neiffer — Fri, 11 May 2012 07:24:00 GMT

The IRS is revising their notices to be more understandable. This is long overdue.

Make Sure You Get Your Written Confirmation of Donation!

Paul Neiffer — Thu, 17 May 2012 08:06:00 GMT

A recent Tax Court case spells out the pitfalls of not getting property documentation on a charitable donation.

Supreme Court Rules Capital Gains Tax Owed in Chapter 12

Paul Neiffer — Fri, 18 May 2012 09:29:00 GMT

The Supreme Court just issed a ruling that a farmer will still owe capital gains tax from the sale of farmland after a Chapter 12 bankruptcy filing.

Be Careful if You Have a Foreign Account

Paul Neiffer — Tue, 29 May 2012 08:56:00 GMT

If you own a foreign account worth more than $10,000, you must report this both to the IRS and to the Department of Treasury

Free Money Not Taken

Paul Neiffer — Wed, 30 May 2012 07:07:00 GMT

The GAO reports that about 170,000 small business took advantage of the small business health insurance credit, but up to 4 million more may have been eligible for the credit.

MF Global Recovery at 72% and Should Exceed 92%

Paul Neiffer — Thu, 31 May 2012 08:51:00 GMT

MF Global customers appear to be line to recover at least 92-94% of their claims

Another Large Charitable Donation Gets Thrown Out!

Paul Neiffer — Mon, 04 Jun 2012 07:52:00 GMT

The Tax Court just ruled that a taxpayer cannot deduct any of his charitable donation of over $18 million in land donations to a charitable remainder trust.

Present Is Better than Future!

Paul Neiffer — Wed, 06 Jun 2012 10:53:00 GMT

To qualify for the annual gift tax exclusion of $13,000, a gift must be of a present interest. We review a recent Tax Court case on this subject.

U.S. Is Rarely No. 1 in Yields

Paul Neiffer — Thu, 07 Jun 2012 09:58:00 GMT

I think the perception is that the U.S. leads the world for having the highest yields. This is rarely the case.

Food for Thought on Ag Yields

Paul Neiffer — Mon, 11 Jun 2012 10:43:00 GMT

We respond to a reader's comments on our last post on ag yields.

Watch Out for State Taxes

Paul Neiffer — Thu, 14 Jun 2012 08:30:00 GMT

Many times, state excise, sales or property taxes cost more than income taxes if proper planning is not done.

With Low Interest Rates, Special Use Valuation May Not Save Much Estate Tax!

Paul Neiffer — Fri, 15 Jun 2012 07:54:00 GMT

With high cash rents and very low interest rates, special use valuation may be tougher to use in 2012.

One AGI Instead of Three

Paul Neiffer — Wed, 27 Jun 2012 08:47:00 GMT

If the Senate farm bill passes as is, then only one AGI will be important for farmers to be aware of instead of the current three.

Take Advantage of State Programs

Paul Neiffer — Thu, 28 Jun 2012 09:31:00 GMT

State taxes can cost farmers more than federal income taxes if they are not careful to take advantage of all of the exemptions available to them.

Obamacare Survives the Supreme Court

Paul Neiffer — Thu, 28 Jun 2012 10:00:00 GMT

The Supreme Court just ruled that Obamacare has enough constitutional rights to trump the nonconstitutional issues and the Medicare surtax will take effect on Jan. 1, 2013 (unless Romney gets elected and overturns it).

More Updates on the Senate Farm Bill

Paul Neiffer — Fri, 29 Jun 2012 08:17:00 GMT

We recap the major changes in the Senate Farm Bill and provide comments on some of the provisions.

Canada Has Some Very Nice Farmland

Paul Neiffer — Thu, 05 Jul 2012 09:01:00 GMT

My wife and I just got back from a five day motorcycle trip though the Okanagan Valley of British Columbia.

Watch Out for Your S Corporation Debt Basis

Paul Neiffer — Sun, 08 Jul 2012 11:10:00 GMT

Many farmers have an S corporation for their farm operations. If you have a loss, you must be careful to follow the stock and debt basis rules.

Don't Forget About 2013-2015

Paul Neiffer — Mon, 09 Jul 2012 19:25:00 GMT

With the latest market rally, a chance to lock in good prices for 2013-15 has arrived. Are you planning on taking advantage of it?

Most Farmers Would Prefer the House Farm Bill Versus the Senate Bill

Paul Neiffer — Tue, 10 Jul 2012 08:12:00 GMT

A just released study by Texas A & M shows that most farmers would prefer the House Farm Bill over the Senate version.

Senate Bill 2237 Appears to be on the Fast Track

Paul Neiffer — Wed, 11 Jul 2012 08:34:00 GMT

In repsonse to the lackluster jobs reports of the last few months, the Senate is fasttracking a bill to extend 100% bonus depreciation and provide a new jobs credit.

Peregrine Financial Group Files For Bankruptcy

Paul Neiffer — Wed, 11 Jul 2012 08:37:00 GMT

Peregrine Financial Group, a commodity brokerage company located in Cedar Falls, Iowa has filed for bankruptcy. There appears to be over $220 million of customer funds missing.

White House Proposes Increasing Section 179 Deduction in 2013 to $250,000

Paul Neiffer — Wed, 11 Jul 2012 11:28:00 GMT

The White House just released an initiative to increase the Section 179 deduction for 2013 from the current $25,000 to $250,000

That Did Not Take Long!

Paul Neiffer — Thu, 12 Jul 2012 15:57:00 GMT

The Senate voted to table the Small Business Tax Cut bill which means we will probably not see this type of bill passed until after the election.

How to Pick a Futures Broker

Paul Neiffer — Sun, 15 Jul 2012 13:28:00 GMT

Here are some red flags to watch out for in picking a broker to handle your futures trades.

Medicare Premiums Are Deductible Above the Line (in Some Cases)

Paul Neiffer — Tue, 17 Jul 2012 06:12:00 GMT

The IRS had now changed their long-held position on deducting Medicare premiums above the "line". You may be able to go back and get money back from the IRS.

Plan for 2012 Crop Insurance Proceeds

Paul Neiffer — Wed, 18 Jul 2012 07:25:00 GMT

2012 will most likely be a record for crop insurance claims. You need to start planning now on how to report for income tax purposes.

Senate Makes No Proposed Changes to Estate Tax in Extension Bill

Paul Neiffer — Thu, 19 Jul 2012 18:07:00 GMT

The Senate dropped a plan to include changes to the Estate Tax in their current bill designed to extend the Bush tax cuts for middle income households.

IRS Required Rates Drop Even Lower

Paul Neiffer — Tue, 24 Jul 2012 07:11:00 GMT

The required rates on loans drops to an all time low (or close to it).

Building US Ag Exports - One BRIC at a Time

Paul Neiffer — Thu, 26 Jul 2012 18:31:00 GMT

As the BRIC nations continue to produce more meat, they will need more of our corn, beans and other grains.

Smithfield Foods to Import Brazil Soybeans

Paul Neiffer — Fri, 27 Jul 2012 07:48:00 GMT

Smithfield Foods announced this week their intention to import soybeans from Brazil.

S Corporation Tax Returns Generate a Lot of Income

Paul Neiffer — Sat, 28 Jul 2012 11:13:00 GMT

The IRS reported that all S corporation tax returns filed during the five year period ended in 2011 generated almost $6 trillion of gross income each year.

Farm Financial Standards Council Annual Conference - Day 1

Paul Neiffer — Wed, 01 Aug 2012 07:15:00 GMT

I tour some corn and bean fields and attend the first day of the conference.

FFSC - Day 2 Session 1

Paul Neiffer — Wed, 01 Aug 2012 21:24:00 GMT

We recap the first session of the conference.

FFSC - Day 2 Session 2

Paul Neiffer — Wed, 01 Aug 2012 21:25:00 GMT

We recap the second session of day 2

FFSC - Day 2 Session 3

Paul Neiffer — Wed, 01 Aug 2012 21:28:00 GMT

We recap session 3

FFSC - Day 2 Session 4

Paul Neiffer — Wed, 01 Aug 2012 21:29:00 GMT

We recap Session 4

FFSC - Day 2 Session 5

Paul Neiffer — Wed, 01 Aug 2012 21:30:00 GMT

We recap Session 5

Thoughts from the KC Fed Ag Symposium

Paul Neiffer — Sun, 05 Aug 2012 17:50:00 GMT

The Kansas City Federal Reserve held an Ag Symposium last month and I recap some of the information presented

Additional Thoughts on the KC Fed AG Symposium

Paul Neiffer — Mon, 06 Aug 2012 18:15:00 GMT

We provide additional thoughts on the recent KC Fed AG Symposium

What if RP had been around since 1977

Paul Neiffer — Wed, 08 Aug 2012 22:22:00 GMT

We recap a study presented at the 2011 Illionis Farm Economics Summit on the payouts from 1977 if RP had been in place

Drive/Run/Operate the Combine

Paul Neiffer — Fri, 10 Aug 2012 09:53:00 GMT

I am going to Walla Walla for a few days to drive/run/operate my cousins combine

Does Ridge Till Net You More

Paul Neiffer — Mon, 13 Aug 2012 21:58:00 GMT

Data provided by the University of Minnesota appears to indicate that using ridge till yields more to the bottom line.

Financial Stress Remains Muted

Paul Neiffer — Wed, 15 Aug 2012 18:14:00 GMT

The Kansas City Fed Financial Stress index remains muted at a level of -.13.

Expectations for Farm Income Dropping Rapidly

Paul Neiffer — Thu, 16 Aug 2012 07:58:00 GMT

The Kansas City Fed in their quarterly report indicate that expectations for farm income are dropping rapidly. However, in reviewing a chart provided in the report, they seem to drop their expectations much faster than to raise them.

Off to the Crop Tour

Paul Neiffer — Fri, 17 Aug 2012 21:06:00 GMT

I leave early on Saturday to get started on the MidWest Crop Tour.

Crop Tour so far more Consistent than I Thought it would be

Paul Neiffer — Mon, 20 Aug 2012 14:16:00 GMT

The first day on our leg of the crop tour has had much less variability than I expected

Again, Corn Has Been More Consistent than I Expected

Paul Neiffer — Tue, 21 Aug 2012 19:30:00 GMT

On day 2 of the Midwest crop tour we found results that did not have as much variability as expected

The International Flavor of the Crop Tour

Paul Neiffer — Wed, 22 Aug 2012 19:20:00 GMT

The Midwest Crop Tour has become more international over the years

Mid-West Crop Tour Recap

Paul Neiffer — Sun, 26 Aug 2012 18:04:00 GMT

I recap my thoughts on last weeks Mid-West Crop Tour

USDA Predicts Large Livestock losses

Paul Neiffer — Wed, 29 Aug 2012 19:42:00 GMT

USDA issued a report on net estimated 2012 farm income showing large losses for the livestock industry.

Net Farm Income at a Record Even with the Drought

Paul Neiffer — Wed, 29 Aug 2012 19:44:00 GMT

The USDA issued a report on Tuesday updating their estimate of 2012 net farm income. It shows a new record amount.

Have a Good Labor Day Weekend

Paul Neiffer — Fri, 31 Aug 2012 09:53:00 GMT

I wish everyone a very good labor day weekend.

Decelerating Trend in Farmland Prices

Paul Neiffer — Mon, 03 Sep 2012 17:44:00 GMT

The Chicago Federal Reserve reported in its Ag Letter that the rapid increase in farmland prices abated in the second quarter.

What About Hay?

Paul Neiffer — Thu, 06 Sep 2012 13:44:00 GMT

We discussed some of the facts regarding US Hay production.

Section 179 Deduction for 2013

Paul Neiffer — Sun, 09 Sep 2012 18:50:00 GMT

We discuss what the Section 179 deduction might be in 2013.

A Lot of Fighting Words Over Sugar

Paul Neiffer — Tue, 11 Sep 2012 18:53:00 GMT

We report on a countersuit by the "corn sugar" industry.

Express Saver Shipping Cost Taxpayer Thousands

Paul Neiffer — Wed, 12 Sep 2012 08:21:00 GMT

We summarize a tax court case where using Fedex Third Business Day shipping cost a taxpayer a lot of money.

Mistakes to Avoid in Lifetime Giving - Part 1

Paul Neiffer — Thu, 13 Sep 2012 16:49:00 GMT

We start a quick series on mistakes to avoid when doing a lifetime giving program.

Mistakes to Avoid in Lifetime Giving - Part 2

Paul Neiffer — Fri, 14 Sep 2012 09:42:00 GMT

We continue our series on the mistakes to avoid in your lifetime giving program.

Mistakes to Avoid in Lifetime Giving - Final

Paul Neiffer — Mon, 17 Sep 2012 16:44:00 GMT

We end our series on the mistakes to avoid in your lifetime giving plans.

Involve Your Kids With Year-End Tax Planning

Paul Neiffer — Wed, 19 Sep 2012 19:39:00 GMT

If you have kids involved with the farm operation, now is a good time to get them more involved in the financial aspects of the operation.

2012 Interest Rates for Special Use Valuation

Paul Neiffer — Mon, 24 Sep 2012 16:47:00 GMT

The IRS announced today the interest rates to use in valuing farmland for estate tax purposes if Special Use Valuation is elected. Although the rates are very low, substantial estate tax savings can result from using the election.

IRS Extends Drought Replacement Period for Ranchers

Paul Neiffer — Tue, 25 Sep 2012 18:31:00 GMT

The IRS announced today an one year extension for the replacement period for sale of livestock due to drought. This primarily applies to drought sales that occurred in 2008 and earilier.

Crop Revenue Would Need To Drop 21.7% to Equal 1980s Income Shock

Paul Neiffer — Thu, 27 Sep 2012 18:40:00 GMT

The Kansas City Federal Reserve in a paper on the Nebraska economy estimates that crop revenue would need to drop almost 22% to equal a 1980s income shock. Would you be ready for this?

Will the Fiscal Cliff Really Cause Drastic Cuts in Spending?

Paul Neiffer — Mon, 01 Oct 2012 07:24:00 GMT

The Congressional Research Service estimates only a $65 billion reduction in spending cuts due to the fiscal cliff that we are scheduled to reach on Jan. 1, 2013.

Combining 265 Bushel Corn

Paul Neiffer — Thu, 04 Oct 2012 05:36:00 GMT

I visit one of my clients harvesting 265 bushel corn

Maintain Flexibility with Deferred Payment Contracts

Paul Neiffer — Mon, 08 Oct 2012 09:14:00 GMT

Farmers can take unique advantage of deferred payment contracts. 2012 may be the year to have some extra smaller contracts to maintain your flexibility

Will Farmers Have More "Repairs" This Year?

Paul Neiffer — Tue, 09 Oct 2012 10:16:00 GMT

With the reduction in bonus depreciation to 50% and lower Section 179, we expect there to be a lot more repairs by farmers this year.

Is the U.S. Deficit Really $76 Trillion instead of $16 Trillion?

Paul Neiffer — Thu, 11 Oct 2012 07:04:00 GMT

Bill Gross of PIMCO issues a letter calling the US real deficit at $76 Trillion

Where Will Harvest Prices End Up for Crop Insurance?

Paul Neiffer — Thu, 11 Oct 2012 19:37:00 GMT

I am giving you my guesses on where the final harvest price numbers will end up. Let's see who can get the closest.

Another Tax Season Bites The Dust

Paul Neiffer — Mon, 15 Oct 2012 19:19:00 GMT

We finally get done with our last individual income tax extensions and now it is time for year-end tax planning.

2013 Social Security Changes

Paul Neiffer — Tue, 16 Oct 2012 10:51:00 GMT

The Social Security Administration just announced the changes for 2013 due to inflation adjustments.

Updated 2013 Inflation Adjusted Estate and Gift Amounts

Paul Neiffer — Sun, 28 Oct 2012 22:11:00 GMT

The IRS released new inflation adjusted amounts for certain gift and estate tax related items with relevance to farmers.

What Will the Fiscal Cliff Mean to You?

Paul Neiffer — Mon, 29 Oct 2012 18:08:00 GMT

We recap one example of how the fiscal cliff may affect a taxpayer's situation.

Fiscal Cliff Example #2

Paul Neiffer — Tue, 30 Oct 2012 17:16:00 GMT

We respond to reader's request for different examples of the Fiscal Cliff effect for 2013

Updated Harvest Prices

Paul Neiffer — Thu, 01 Nov 2012 21:08:00 GMT

We recap how close we were on our guess of final harvest prices.

Get Ready For The New Medicare Tax Increase on Earned Income

Paul Neiffer — Sun, 04 Nov 2012 12:06:00 GMT

Beginning next year, farmers may be subject to addtional Medciare tax on their earned income.

Farming and Rural Indexes Grow

Paul Neiffer — Mon, 05 Nov 2012 20:48:00 GMT

The Mainstreet Index report from Creighton University shows increased growth in farmland prices and economic outlook.

ObamaCare Here to Stay (at least for four more years)

Paul Neiffer — Thu, 08 Nov 2012 22:34:00 GMT

With the election, we will see the effects of ObamaCare for the next four years.

Surprise! - IRS Does Not Promote "First Time Abatement" Program

Paul Neiffer — Sun, 11 Nov 2012 19:22:00 GMT

If you have ever had to deal with an IRS penalty letter, relief was available that the IRS never promoted.

20%/33%/45%/59% - How Much Will Your Capital Gains Rate Go Up By?!

Paul Neiffer — Mon, 12 Nov 2012 09:15:00 GMT

How much might your capital gains tax rate increase in 2013. We discuss by how much.

IRS Announces It Does Not Like Fixed Dollar Gifts

Paul Neiffer — Tue, 13 Nov 2012 09:02:00 GMT

IRS just announced they disagree with a Tax Court ruling back in March regarding specific dollar amounts of gifts of partnership interests

No AMT Extender May Prevent Farmers from Filing on March 1

Paul Neiffer — Wed, 14 Nov 2012 20:43:00 GMT

If Congress does not pass an AMT extender, up to 60 million tax returns may not be filed before March 31, 2013.

Farm Lending Rose at Fastest Pace in Five Years

Paul Neiffer — Thu, 15 Nov 2012 21:22:00 GMT

The Kansas City Federal Reserve reported increase farm loan volumes due to the drought.

Don't Forget the Small Employer Health Care Credit

Paul Neiffer — Sun, 18 Nov 2012 20:35:00 GMT

There are some tax savings in Obama Care. This credit may apply to operation.

Talk Brewing of Extending the Payroll Tax Cut

Paul Neiffer — Tue, 20 Nov 2012 04:53:00 GMT

Due to the tepid economy, Congress is discussing extending the 2% FICA payroll tax cut.

IRS Bumps 2013 Standard Mileage Rates by a Penny per Mile

Paul Neiffer — Sun, 25 Nov 2012 18:37:00 GMT

The IRS announces the new standard mileage rates for 2013

2012 May Be Last Year for Section 179 Flexibility

Paul Neiffer — Mon, 26 Nov 2012 20:18:00 GMT

After this year, farmers may not be able to change their Section 179 deduction election.

Headed to Chicago for EWA

Paul Neiffer — Tue, 27 Nov 2012 21:57:00 GMT

I head to Chicago tomorrow morning to attend Executive Women in Agriculture conference. Hope to see many of you there.

The Coming Fiscal "Section 179" Cliff

Paul Neiffer — Wed, 28 Nov 2012 08:28:00 GMT

We respond to a reader's question concerning Section 179 for 2013.

Don't Forget Your Form 1099 Responsibilities!

Paul Neiffer — Thu, 29 Nov 2012 07:16:00 GMT

The IRS is now requiring you to confirm that you are filing the required form 1099 when filing your business returns. Are you complying?

What's the Right Trust For Me?

Paul Neiffer — Sun, 02 Dec 2012 20:00:00 GMT

We respond to reader's question on this subject.

Senator Baucus Urges Extension of Current Estate Tax Laws

Paul Neiffer — Mon, 03 Dec 2012 06:12:00 GMT

On Friday, Senate Finance Committee Chairman Max Baucus of Montana split with the President by urging a retention of current estate tax exemption and rates.

IRS Issues Proposed Regs. on 3.8% Medicare Surtax

Paul Neiffer — Tue, 04 Dec 2012 08:24:00 GMT

IRS just release proposed regulations on the 3.8% investment Medicare surtax. In a somewhat nasty surprise, the IRS claims that almost all rent income will be subject to the tax even if a proper grouping election had been made.

IRS Wants All Rents Subject to New 3.8% Medicare Tax

Paul Neiffer — Wed, 05 Dec 2012 11:24:00 GMT

Based on new regulations, it appears the IRS wants all rents (whether there is material participation or not) to be subject to the new 3.8% Medicare tax.

Will There Be an "Agriculture Abyss"?

Paul Neiffer — Sun, 09 Dec 2012 15:07:00 GMT

With the expiration of the farm bill in September, are we facing an Agriculture Abyss?

File Your Gift Tax Return

Paul Neiffer — Wed, 12 Dec 2012 06:44:00 GMT

If you make any major gifts of farmland or entities that have a valuation discount, make sure to file your gift tax return. This will put the IRS on notice and they have three years to challenge your valuation.

Some Interesting Ag Cooperative Facts

Paul Neiffer — Thu, 13 Dec 2012 09:34:00 GMT

The USDA issues a bi-monthly newsletter on the Ag Cooperative industry. We recap some of the facts from the latest issue.

Revocable Living Trusts - Do They Save Estate Taxes?

Paul Neiffer — Fri, 14 Dec 2012 15:46:00 GMT

We attended and spoke at the South Dakota Soybean Association annual meeting on estate taxes and many people had questions regarding how much taxes a revocable living trust would save over a will. In most cases, it is zero.

Another Nice Feature of a Living Trust

Paul Neiffer — Sun, 16 Dec 2012 15:17:00 GMT

A reader reminded us of a nice feature of a living trust.

What Does Unified Credit Mean?

Paul Neiffer — Mon, 17 Dec 2012 21:46:00 GMT

We have had several questions on how the combined lifetime exlcusion works.

Annual Exclusion Does Not Eat Into Lifetime Exclusion

Paul Neiffer — Tue, 18 Dec 2012 16:42:00 GMT

We answer a question from a reader on if the annual exclusions amounts reduce the lifetime exclusion.

Annual Exclusion Update

Paul Neiffer — Wed, 19 Dec 2012 19:35:00 GMT

We add more detail on our post from yesterday on the annual exclusion not eating into the lifetime exclusion.

One Week To Go Checklist

Paul Neiffer — Mon, 24 Dec 2012 15:33:00 GMT

There is only about one week left in the year. We present a quick checklist for things to get done by year-end.

Update on Farm Income Averaging

Paul Neiffer — Wed, 26 Dec 2012 08:50:00 GMT

We update our post of last week on how farm income averaging will reduce the effect of the Bush Tax Cuts expiring in 2013 (assuming this happens)

Farm Income Not Cash Rents

Paul Neiffer — Thu, 27 Dec 2012 17:00:00 GMT

We continue our theme on farm income averaging and respond to readers questions on whether cash rents qualify.

Be Careful of Fiscal Year Section 179 Issues!

Paul Neiffer — Sun, 30 Dec 2012 20:21:00 GMT

The limit on Section 179 for individuals may create issues for S Corporations that flow through too much on their fiscal year returns.

Some Major Tax "Goodies" in Senate Bill for Farmers

Paul Neiffer — Tue, 01 Jan 2013 15:18:00 GMT

The Senate in the late hours of today passed a bill to avert the Fiscal Cliff. It is now being discussed in the House and we recap the benefits to farmers.

Help! What is my Capital Gains Tax Rate?!

Paul Neiffer — Wed, 02 Jan 2013 12:37:00 GMT

With the new tax bill just passed, you may be subject to up to 6 different capital gains rates and you may not know the final rate until you file your tax return.

Some More Goodies Buried in the Fine Print

Paul Neiffer — Thu, 03 Jan 2013 19:26:00 GMT

We flesh out a couple more goodies in the new tax bill

Section 179 / Bonus Depreciation

Paul Neiffer — Fri, 04 Jan 2013 08:44:00 GMT

We address some questions on the new Section 179 and bonus depreciation rules.

Up to Ten Capital Gains Tax Rates for 2013!

Paul Neiffer — Sun, 06 Jan 2013 13:01:00 GMT

With the new laws in place for 2013, there is now at least 10 different maximum capital gains tax rates.

Fiscal Cliff Tax Bill May Increase the Divorce Rate

Paul Neiffer — Mon, 07 Jan 2013 15:31:00 GMT

High Income married couples could easily see their taxes go up by $30,000 or more with the new Fiscal Clift Tax Bill. Will this lead to an increase in the divorce

Reprieve For S Corporaitons With Built-in Gains

Paul Neiffer — Tue, 08 Jan 2013 09:07:00 GMT

The new tax law continues a 5 year period for application of the Built-in Gains tax.

IRS Announces When Tax Retuns can be Filed

Paul Neiffer — Wed, 09 Jan 2013 10:46:00 GMT

IRS announces a January 30, 2013 first filing day for individual returns, however, most farmers will have to wait until possible early March to file returns. This may be the year to make your estimated tax payment on January 15 and wait until April 15 to file.

Don't Forget The Double Payroll Tax Hit!

Paul Neiffer — Thu, 10 Jan 2013 11:11:00 GMT

Most farmers know about the increase in the employee FICA rate back to 6.2% but may have forgotten about the new .9% Medicare surtax that applies starting this year.

Section 179 Can Create A Farm Loss (In Certain Situations)

Paul Neiffer — Thu, 10 Jan 2013 18:00:00 GMT

We answer a readers qeustion on whether Section 179 can create a farm loss.

Certain Credits Can Offset AMT

Paul Neiffer — Sun, 13 Jan 2013 16:11:00 GMT

Part of the old ongoing AMT mess was whether certain personal credits could offset the tax or not. The new law added a permanent favorable treatment for these credits.

We Wonder What the Investment Income Tax Form Will Look Like?

Paul Neiffer — Mon, 14 Jan 2013 07:03:00 GMT

With the new 3.8% net investment income tax starting this year, the IRS will need to create a new tax form. We think it will be a very complex one.

IRS Announces Needed Relief on Home Office Deduction!

Paul Neiffer — Tue, 15 Jan 2013 20:18:00 GMT

Starting for your 2013 tax return, you may be able to use a much simpler method to deduct your home office deduction

Senator Grassley Wants Extension of March 1 Filing Deadline

Paul Neiffer — Wed, 16 Jan 2013 07:21:00 GMT

Senator Grassley of Iowa released a letter yesterday to the IRS requesting the March 1 farmer filing deadline be extended.

Watch Out For Those Retroactive State Tax Gotchas!

Paul Neiffer — Thu, 17 Jan 2013 18:00:00 GMT

We recap the State of California retroactively demanding up to four years of state taxes to taxpayers that did nothing wrong.

IRS Announces April 15, 2013 Farmer Deadline

Paul Neiffer — Fri, 18 Jan 2013 16:57:00 GMT

Today, the IRS announced instead of the normal March 1 farmer filing deadline, it has been extended to April 15.

KC Fed Reports Drought-Reduced Income Boost Farm Loans

Paul Neiffer — Sun, 20 Jan 2013 16:18:00 GMT

The Kansas City Federal Reserve reports that farm income dropped in the third quarter due to the drought.

Are Taxes Progressive in the US?

Paul Neiffer — Mon, 21 Jan 2013 20:49:00 GMT

We read an article on the progressive tax system in the US and how they may have missed part of the equation.

It May Pay to Fill Out Your Ag Census Online

Paul Neiffer — Tue, 22 Jan 2013 17:44:00 GMT

It may make sense to fill out your five year Ag census online this year. It may save you some frustration.

Why Imputed Interest Matters for 2013 (And Beyond)

Paul Neiffer — Wed, 23 Jan 2013 08:35:00 GMT

With the new 3.8% net investment income tax farmers will need to watch out for imputed interest. It may pay to lock in low rates now to reduce this tax.

AMT Causes A Few More Capital Gains Tax Rates

Paul Neiffer — Thu, 24 Jan 2013 09:00:00 GMT

AMT taxes capital gains the same as the regular federal tax, however, the addtiional capital gain income may cuase AMT to be increased. We explain how.

Tomorrow Top Producer Conference Observations

Paul Neiffer — Tue, 29 Jan 2013 08:43:00 GMT

I am attending the Tommorow Top Producer conference and will update through out the day

Tomorrow Top Producer Part 2

Paul Neiffer — Tue, 29 Jan 2013 09:27:00 GMT

Discuss points from Bret Oelke

Tomorrow Top Producer Part 3

Paul Neiffer — Tue, 29 Jan 2013 10:05:00 GMT

Recap the farmer panel

File Your Return After March 1, Not Before

Paul Neiffer — Wed, 30 Jan 2013 09:39:00 GMT

Even though the IRS granted relief from the penalty if you file after March 1, the key is not to file before March 1 this year if you want to pay your taxes on April 15.

The Board is Not What it Used to Be!

Paul Neiffer — Wed, 30 Jan 2013 22:53:00 GMT

We visited the board of trade today and it is not what it used to be.

Many States Are Delaying Farmer Filing Deadline Too!

Paul Neiffer — Sun, 03 Feb 2013 11:26:00 GMT

Many states are delaying their farmer filing deadline to April 15. Make sure your state is one of these.

Hedging Versus Speculation

Paul Neiffer — Mon, 04 Feb 2013 19:42:00 GMT

We respond a reader's question on how to handle a corn option transaction on their tax return

What Will be the February Insurance Price

Paul Neiffer — Wed, 06 Feb 2013 18:51:00 GMT

So far, this years insurance price is ahead of last year. Will the trend continue for the last 16 trading days in February?

Capital Gains Tax on Inherited Property

Paul Neiffer — Thu, 07 Feb 2013 19:24:00 GMT

We respond to a reader with a quesiton about the capital gains tax owed on inherited farm property.

Crop Insurance Proceeds on Feed Consumed by Livestock

Paul Neiffer — Sun, 10 Feb 2013 19:32:00 GMT

We answer a reader's question on why you are not allowed to defer crop insurance proceeds on hay consumed in your livestock operation.

Farmer Filing Due Date Update

Paul Neiffer — Mon, 11 Feb 2013 08:29:00 GMT

The IRS released form 4562-Depreciation yesterday, but there are several other forms that we are still waiting for release which will delay your filing until after March 1.

Yes! You Can Write Off That New Machine Shop (At Least 50%)

Paul Neiffer — Tue, 12 Feb 2013 08:58:00 GMT

We respond to a reader's question about writing off 50% of a new machine shop. Yes, you can.

Don't Forget the "Magic Blurb" on Donation Acknowledgements!

Paul Neiffer — Wed, 13 Feb 2013 12:57:00 GMT

Make sure that you get the proper acknowledgement from a charity this year. If it is wrong, you can lose the whole deduction.

Another Bill to Reduce Farm Payments is Introduced!

Paul Neiffer — Thu, 14 Feb 2013 11:45:00 GMT

Four Senators this week introduced a payment to close loopholes and reduce payments on any new farm bill.

Is a Dynasty Trust Right for You!

Paul Neiffer — Mon, 18 Feb 2013 08:36:00 GMT

By using a dynasty trust, you can make sure the farm stays in the family for mulitple generations. However, have you answered the appropriate questions?

1031 Tax-Deferred Exchange Does Not Always Defer All Taxes!

Paul Neiffer — Mon, 18 Feb 2013 21:45:00 GMT

Don't always assume a Section 1031 Tax-Deferred exchange will defer all taxes.

Irrigated Cropland Values Surge Higher due to Drought

Paul Neiffer — Tue, 19 Feb 2013 20:18:00 GMT

The Kansas City Federal Reserve in their latest Ag report indicates irrigated cropland values in their district were up 13% in the 4th quarter alone.

Good News for Blackberry, Raspberry and Papaya Farmers

Paul Neiffer — Wed, 20 Feb 2013 17:44:00 GMT

For farmers wtih blackberries, raspberries and papaya's, the IRS just provided some record keeping relief.

Safe to File After March 1

Paul Neiffer — Sun, 24 Feb 2013 12:47:00 GMT

Since at least two major forms have not yet been released by the IRS, it is safe to file after March 1 and pay your tax on April 15.

Must Have W2 Wages to Deduct DPAD

Paul Neiffer — Mon, 25 Feb 2013 18:45:00 GMT

We respond to a reader's question regarding the deduction of DPAD when he does not have any wages.

How Step Up in Basis Works

Paul Neiffer — Tue, 26 Feb 2013 08:20:00 GMT

We respond to a reader's question on how to apply the step-up in basis on inherited assets that are sold.

Farmers Should be Able to File Tax Returns by Monday

Paul Neiffer — Thu, 28 Feb 2013 20:27:00 GMT

IRS announced today that all forms that most farmers were waiting to be released will be ready by Monday.

When an UPRIET Might Make Sense

Paul Neiffer — Sun, 03 Mar 2013 16:48:00 GMT

In some situations, a farmer that wishes to sell their land, yet not pay taxes may want to consider using an UPREIT.

IRS Announces They Are Processing All Remaining Tax Forms

Paul Neiffer — Mon, 04 Mar 2013 19:10:00 GMT

We can now start filing our 2012 tax returns for farmers.

What are W2 Wages for DPAD?

Paul Neiffer — Thu, 07 Mar 2013 18:34:00 GMT

We go over the rules on what wages qualify for determining the DPAD deduction.

When It Pays to Increase Your Earnings

Paul Neiffer — Sun, 10 Mar 2013 10:42:00 GMT

As you approach retirement age, it may pay to increase your earnings to increase your social security benefits

Update to Social Security Post

Paul Neiffer — Mon, 11 Mar 2013 10:47:00 GMT

We add a couple of items to our previous Social Secuirty Post

When Congress Says "Simplified" Watch Out

Paul Neiffer — Wed, 13 Mar 2013 20:16:00 GMT

The Ways and Means Committee just release some proposals and making partnership and S corporations simpler. I think it just means it will be simpler to get more money from you.

Will Larger Farmers Still Be Able to Use Cash Method in the Future

Paul Neiffer — Thu, 14 Mar 2013 18:53:00 GMT

One of the proposals in Congress may eliminate the cash method of accounting for farmers over $10 million in annual sales inclduing related parties.

Don't Forget Farm Income Averaging for 2012 tax returns

Paul Neiffer — Tue, 19 Mar 2013 19:57:00 GMT

Even if this does not save you money, it may save you dollars in 2013 and beyond.

Heads They Win - Tails You Lose

Paul Neiffer — Mon, 25 Mar 2013 19:59:00 GMT

With the New Medicare Surtax, you may end up owing more tax than planned.

You Can Always Do An IRA!

Paul Neiffer — Wed, 27 Mar 2013 20:22:00 GMT

Even if you are covered by a retirement plan at work, you can still fund an IRA by April 15. You may not be able to deduct it, but you can certainly fund it.

The Two Week Check List

Paul Neiffer — Mon, 01 Apr 2013 21:31:00 GMT

There is officially two weeks to go before April 15. We provide a quick check list of items to get done.

3% - 6% - 12%

Paul Neiffer — Sun, 07 Apr 2013 21:45:00 GMT

If you delay paying your tax until after April 15, your interest rate on these taxes may hit 12%.

Here We Go Again!

Paul Neiffer — Wed, 10 Apr 2013 22:07:00 GMT

The President is already proposing changes to the "permanent" lifetime estate exemption amount.

Deferred Payments Contracts (Again)

Paul Neiffer — Tue, 16 Apr 2013 11:05:00 GMT

We update our advice on deferred payment contracts

Our Readers Catch Us!

Paul Neiffer — Wed, 17 Apr 2013 10:46:00 GMT

Several observant readers catch one more combination of income that we could report in our post from yesterday.

What About Those 1099s?!

Paul Neiffer — Wed, 24 Apr 2013 21:27:00 GMT

We respond to a reader's question on our post about using deferred payment contracts.

How Does Delayed Plantings Affect Your Profit Margins?

Paul Neiffer — Thu, 25 Apr 2013 17:15:00 GMT

If corn gets planted after May 15 this year, have you calculated how this might affect your profit margins

Early vs. Full Season Corn

Paul Neiffer — Thu, 02 May 2013 15:50:00 GMT

Have you performed a SWAG or WAG on the effect switching from full season to early season corn

Get Your Message Out!

Paul Neiffer — Wed, 08 May 2013 20:42:00 GMT

I just got back from a two day Northwest Ag Bankers conference and here are some of my conclusions.

Make Sure To Coordinate Estate Documents with Ag Laws

Paul Neiffer — Wed, 08 May 2013 20:43:00 GMT

Follow up on the Northwest Ag Bankers conference

Mainstreet Index Still Remains Robust

Paul Neiffer — Thu, 09 May 2013 21:17:00 GMT

The Creighton University Mainstreet Index still remains in positive territory for all states that it follows

When Does A Large Price Increase Spell Trouble?

Paul Neiffer — Mon, 13 May 2013 18:18:00 GMT

The Kansas City Federal Reserve reported that 2012 4th quarter farm land prices rose by over 30% in some cases. Will this spell trouble down the road.

Debt to Asset Ratio Looks Great - But!

Paul Neiffer — Tue, 14 May 2013 16:57:00 GMT

I perform some anlaysis on the debt to asset ratio changes from 2005 to 2011.

What is Draconian?

Paul Neiffer — Wed, 15 May 2013 17:45:00 GMT

I comment on an article describing the propsed cuts to "Food Stamps" as draconian

Senate and House Appear Closer on Farm Bill

Paul Neiffer — Thu, 16 May 2013 16:01:00 GMT

It appears that the Senate has made changes to their farm bill to make it closer to the House, but differences will need to be addressed

A Farmland REIT is Now Publicly Traded

Paul Neiffer — Mon, 20 May 2013 20:47:00 GMT

Gladstone Land Corporation just raised $50 million in an IPO to invest in farmland.

Will Excess Farm Loss Rules Apply With New Farm Bill?

Paul Neiffer — Tue, 21 May 2013 10:53:00 GMT

A tax provision that can cost our farmers some money may no longer apply with the new farm bill

Will This Time Be Different?

Paul Neiffer — Wed, 22 May 2013 20:30:00 GMT

In a work paper from the Kansas City Federal Reserve, witll this farm cycle be different from the last three.

Beginning Farmers are not Necessarily Young Farmers

Paul Neiffer — Thu, 23 May 2013 22:03:00 GMT

In a recent issue of Amber Waves, the USDA gives some interesting data on beginning farmers.

Will Your State Raise Taxes?

Paul Neiffer — Tue, 28 May 2013 19:21:00 GMT

Minnesota just passed a 552 page tax bill that will affect many farmers in the state.

Corn & Bean Prices are Approaching the Spring Price

Paul Neiffer — Wed, 29 May 2013 11:59:00 GMT

With a chance to lock in full spring prices on your corn and bean crops, now is the time to take another look at your crop budgets.

Pay Your Kids!

Paul Neiffer — Thu, 30 May 2013 10:07:00 GMT

If you have kids under age 18 that work on the farm for you, make sure to pay them. It will save you taxes and increase their after-tax wealth at retirement.

Update on 2012 Crop Insurance Losses

Paul Neiffer — Thu, 30 May 2013 17:16:00 GMT

The University of Illinois just released an update on crop insurance losses for 2012 and the overall goals of the program.

The Advantage of Commodity Contributions

Paul Neiffer — Sun, 02 Jun 2013 16:14:00 GMT

In many cases, you can save income and self-employment taxes by making direct gifts of farm commodities to charities.

Commodity Gift Update

Paul Neiffer — Tue, 04 Jun 2013 10:45:00 GMT

We update our post from the other day on commodity gifts.

Social Security Wage Base is Going Up (and Up and Up)

Paul Neiffer — Fri, 07 Jun 2013 11:38:00 GMT

The Social Security Adminstration has announced their expected Wage Base for 2014

How Do We Treat the Grain Gifted?

Paul Neiffer — Sun, 09 Jun 2013 20:24:00 GMT

We respond to a reader's question on how to treat the gain on a gift of grain.

Prevent Planting Qualifies as "Crop Insurance"

Paul Neiffer — Mon, 10 Jun 2013 19:25:00 GMT

Proceeds related to prevent plant will qualify for tax deferral assuming you meet the normal requirements.

ACRE Produces Higher Payouts Than New Farm Bill Proposals

Paul Neiffer — Tue, 11 Jun 2013 13:20:00 GMT

As expected, the new Farm Bill programs will pay out less than the old ACRE program.

Are You Ready for Your $1 Excise Tax Filing Requirement!

Paul Neiffer — Tue, 18 Jun 2013 18:20:00 GMT

Are you ready for a new tax?