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Farmers Tax Guide

The IRS Publication 225, Farmers Tax Guide provides useful information regarding Government funded conservation programs such as CREP. The full publication is available on the web at https://www.irs.gov/pub/irs-pdf/p225.pdf. Two points are clear; CREP payments are considered income and CREP expenses are deductible.

The following sections in particular are applicable to CREP (PDF):

  • Page 16 - Agricultural Program Payments

  • Page 24 - Deductible Expenses

  • Page 32 - Soil and Water Conservation Expenses Plan Certification

 

Livestock and Dairy Tax Exemption Information

 

 

Tax Codes:
  • RCW 82.08.890 - Exemptions - Sales of machinery and equipment used in generating electricity (expires Jan 1, 2020)

  • RCW 82.12.890 - Exemptions - Livestock nutrient management equipment and facilities