The following commentary does not necessarily reflect the views of AgWeb or Farm Journal Media. The opinions expressed below are the author's own.
Paul is now part of the fourth generation in America that is involved in farming and hopes the next generation will be involved also. Through his blog he provides analysis and insight to farmer tax questions.
Here are additional updates and comments on the Senate Farm Bill:
My comments are as follows:
For many farmers, the chance of collecting much money each year under these programs will be somewhere between slim and none. They are also tightening up the rules on active participation and the AGI limits are now a hard number with no distinction between farm and non-farm income.
The dairy program may provide additional needed margin relief to diary farmers and there appears to be no cap on these payments. However, to participate, the farmer will be required to pay an annual assessment fee based upon pounds of production and is capped at $2,500. This fee is designed to cover the cost of accumulating the data needed to determine the pay-out, if any.
We are sure that the House will have changes and the final Bill will not be exactly like this, but many of these provisions will remain.