EQUIPMENT NEWS
Taxlink by Andy Biebl
Andy Biebl DTN Tax Columnist
Mon Mar 10, 2014 10:14 AM CDT

It took the IRS four drafts, but we have finally arrived at final regulations on when an expenditure is a current expense versus a capitalized improvement. This has long been a vexing question. Fortunately, farmers tend to have less risk on this issue than their non-ag counterparts. Farm structures range in depreciable life from 10 to 20 years, whereas real estate in the non-ag sector is 39 years. Here are some of the key definitions from the new regulations.

Materials and supplies

These are deductible at purchase, even though there is significant value. Examples are fuels and lubricants, and other ...

Quick View
  • Dodge Down Corn Conditions have been right for stalk rot and ear molds in corn in many parts of the Midwest this ...
  • Cows That Last If you've priced replacement heifers lately, or even just added up all the costs of raising your ...
  • Chrysler: What's New for 2015 Here's something you don't want to do at a media event for seasoned automotive journalists from a...
  • Farm Investors Welcome Why own farms when you can own shares in a farmland pool? The advent of agriculture's first real ...
  • Rents Resist Price Relief Growers in bellwether corn states expect to make money on bushels -- not price -- in 2014, farm m...
  • GE Critics Range as Skeptics An ad-hoc committee of 18 scientists is tasked by the National Research Council with examining th...
  • Ask the Taxman by Andy Biebl CPA Andy Biebl helps readers wrestle with reality of health insurance costs, congressional inacti...
  • Ag Innovation Showcase At the sixth annual Ag Innovation Showcase in St. Louis this week, start-ups in search of investo...
  • Ask the Vet At what age should a cow be culled?
Related News Stories
Chrysler: What's New for 2015
Machinery Chatter
Cattle Chutes on Display at Farm Show
Machinery Chatter
Ag Drones Under Scrutiny
Machinery Chatter
To Bag or Not to Bag?
Machinery Chatter
Farmers Pivot Back After Storms
Machinery Chatter