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Tax, SDIRAs & Cost Segregation

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Jack Galloway
  • Real Estate Investor
  • Franklin , TN
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10
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Claiming land as a farm for taxes

Jack Galloway
  • Real Estate Investor
  • Franklin , TN
Posted Mar 12 2009, 10:02

What are some creative ways to meet the requirements for claiming land as a farm for tax purposes, allowing me to deduct all related expenses?

Details: I recently purchased 10 acres with a house, barn, pond, etc. I do not intend to live in the house. It is a recreational farm for me now. I would like to find a way to ethically and legally meet the minimum requirements to claim this as a farm next year. But from what I've read, it's not easy to do, attracts the IRS and requires you to put a lot of energy into actually running the full time business in order to qualify. I would like to find a low maintenance way to meet the qualifications.

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