Forty-one years ago this summer, Gerald Ford stared into the barrel of constitutional chaos and recited the shredded remains of the presidential oath. With pardon in pocket, Tricky Dick (Nixon) tearfully waved from his helicopter and the threatening sluices of Watergate began shutting down.
base corn acre, while those in a county next door will collect nothing. In Nebraska, some checks will run $20 an acre, others closer to $80 an acre. Similar situations are cropping up in Kansas, Iowa and Illinois, in large part because of the local variation in 2014 yields, policy experts report.
Grain farmers approaching retirement face an ugly reality: a lot of grain to sell but no cropping expenses to provide a tax offset. If that carryover grain is in the $500,000-$1 million territory, spreading the sales over several years doesn’t avoid high tax rates.
Finishing steers can be made a little more economical without sacrificing performance, according to a recent University of Nebraska feeding trial that examined the effects of replacing corn in finishing beef diets with a newly developed, treated corn stover/distillers grain pelleted product.
Among the provisions in the Grain Standards Act is language that would ensure grain inspections at export facilities will continue in the event of a disruption, such as the battle over inspections last year during a labor lockout at a grain terminal in the Pacific Northwest.
But with unrelated parties, there’s the expectation that each is protecting his or her economic interests by dealing at arm’s length. When you transact with family members, however, the IRS may question the bona fides of the deal.
Cash cattle trade was quiet today with no prices to report. Corn closed
up 5 1/2 cents in the September and up 5 1/4 cents in the December. The
Dow Jones Industrial Average rose 390 points or 2.4% on the close.
Corn is rapidly moving through dent stage (R5). Excess rain early in the summer, shallow roots, shortages of nitrogen and a dry August have contributed to corn moving through grain fill more rapidly than expected. Any stress, including a shortened grain-fill period would reduce kernel weight by hindering dry matter accumulation.
I am assuming that all of the gain is attributable to the depreciation (i.e., you are selling the 2012 combine for less than your original cost, and the gain arises entirely from the depreciation deductions that reduced your original cost). If a machinery item is sold for more than its original cost, the excess over the purchase price is capital gain.
“We still do not know what the government will do in the future, but I am kind of sure that the government will keep the purchase program for this year with a reduced floor price, and may terminate floor price next year and let the market decide corn price,” said Jianchuan Zhou, Marketing Manager of Tieqili Feed Company in South China.
Erik Norland, an economist at CME, compared how spot futures contract prices and futures spreads for a variety of commodities behaved in the 12-24 months after National Oceanic and Atmospheric Administration’s Climate Prediction Center Oceanic Niño Index signaled the beginning of an El Niño or La Niña.
There are some comments about taxes that make me shudder. Here are five that cause me concern: • “I enjoy preparing my own return.” It’s rare, but on occasion I encounter that farm producer who does his own return. Today’s tax system is insanely complex, especially when business activity is in the mix.
USDA’s current definition of Adjusted Gross Income (AGI) could deny farm families from receiving government payments if they operate as either an S corporation or Limited Liability Corporation (LLC) taxed as a partnership.
This calendar year is predicted to deliver the worst economics in grain farming in 20 years. Low grain prices and high input costs could actually lead to an operating loss, unless yields come in exceptionally high. However, this looming dark cloud may have a silver lining in the form of tax benefits.
In a statement delivered in the Rose Garden, Obama said, “In January of 1961, the year I was born, when President Eisenhower announced the termination of our relations with Cuba, he said: ‘It is my hope and my conviction that in the not-too-distant...