“Thou shalt not pay taxes.”
This is a common sentiment among many, especially farmers, but believe it or not, not paying enough income tax is the biggest tax trap farmers too often fall into. Paul Neiffer, The Farm CPA, says while not paying taxes is a part of a farmer’s genetics, sometimes they take it too far. By not taking advantage of all the available exemptions, standard deductions and not maximizing the 15% tax bracket, many farmers will wind up paying big at retirement.
Paul Neiffer explains:
How far have you gone to avoid paying taxes? How did it work out? Let us know in the comments.