Weathering The Storm

By Jerry Pierce | KFBM Program Coordinator
Published on Feb. 28, 2024

“Agriculture is by nature a cyclical industry.” So said the Federal Deposit Insurance Corporation (FDIC) in History of the Eighties - Lessons for the Future published in 1987. It still is, with net incomes cycling up and down over the decades. So how can farms “weather the storm” when farm income is cycling down?

Kentucky’s Agricultural Districts Program

By Jerry Pierce | KFBM Program Coordinator
Published on Jan. 30, 2024

Someone asked about Agricultural Districts recently. It sounded like a farm tax program, but I had to admit that I knew nothing about them, and that I would look into it. 

USDA Revising Tax Documents for Assistance Under the Inflation Reduction Act

By Jerry Pierce | KFBM Program Coordinator
Published on Apr. 21, 2023

USDA is mailing revised tax documents and a cover letter to about 12,500 direct loan borrowers who received financial assistance last year under Section 22006 of the Inflation Reduction Act. 

Changes in Kentucky Sales Tax That Apply to Farming

By Jerry Pierce | KFBM Program Coordinator
Published on Feb. 28, 2023

Legislation went into effect on the first of 2023 that made many services subject to Kentucky’s 6% sales tax. One change was to the qualifications for residential use exemption from sales tax on utilities.

Kentucky Sales Tax on Utilities

By Jerry Pierce | KFBM Program Coordinator
Published on Jan. 10, 2023

A legislative change was made to the qualifications for residential use exemption from sales tax on utilities. Effective January 1, 2023, the resident at a specific service address is responsible for declaring it as their place of domicile and the utility services exempt for residential use.

Impact of Government Payments

By Jerry Pierce | KFBM Program Coordinator
Published on Feb. 28, 2022

How important is a new farm bill? That depends on a number of factors like what you grow, where you farm, and what happens during a year to trigger payment to you. What impact have farm bills and other government programs had on Kentucky farms in terms of profitability over the last decade? They appear to have had a considerable effect.

IRS Extends March 1 Filing Date for Kentucky Farmers Affected by December Tornadoes

By Jerry Pierce | KFBM Program Coordinator
Published on Feb. 1, 2022

The Internal Revenue Service has announced that certain farms affected by the December 10th severe storms and tornadoes now have until May 16, 2022 to file 2021 returns and pay tax due.

The Dairy Gauge Benchmarking Tool

By Jerry Pierce | KFBM Program Coordinator
Published on Jan. 28, 2022

Benchmarking compares your farm’s performance to past performance or to established measures of success. The benchmark is some measure of a goal, or a range of what is desirable and what is not. You do this all the time, comparing this year’s yields to past years or this cow’s performance to others in the herd.

Update on Agriculture Exemption Number for Sales Tax Exemption on Farm Purchases

By Jerry Pierce | KFBM Program Coordinator
Published on Jan. 28, 2022

The application deadline for farms with existing Exemption Certificates on file with farm suppliers was January 1, 2022. Applications are still being accepted for existing farms.

Agriculture Exemption Number Now Required for Tax Exemption on Farm Purchases

By Jerry Pierce | KFBM Program Coordinator
Published on Jul. 19, 2021

A new Kentucky law requires that farmers apply for an Agriculture Exemption Number to make qualified purchases for the farm exempt from sales tax.