Topic: Income Tax Treatment of Weather-Related Sales of LIvestock
Description: USDA has partnered with ag tax experts around the country to connect producers to important tax information related to their operations. Tax season is just around the corner and there are a variety of important considerations for farmers and ranchers. On February 7th & 8th, USDA is hosting two webinars on income treatment of livestock sales and disaster losses. Join us for presentations by JC Hobbs of Oklahoma State University to learn about the special tax rules that may apply to your operation.
Breeding, dairy, or draft livestock (excluding poultry) sold due to drought, flood, or other weather-related condition are potentially eligible for special tax treatment, as this sale is considered an involuntary conversion. This presentation will cover the application of these tax rules which allows for the postponement of gain recognition when replacement animals are purchased.
The gain from the sale of any livestock, including poultry, in excess of the normal number of animals sold annually due to drought, flood, or other weather-related condition may allow the reporting of gain to be postponed until the following year. Special tax rules apply, allowing the postponement to occur. This presentation will cover the rules and procedures that must be followed to postpone the reporting of the gain.
Feb 7, 2022 03:00 PM in Eastern Time (US and Canada)