Informational Meeting on Beginning Farmer Tax Credit

Pipestone, MN – Minnesota West invites landowners, asset owners, and beginning farmers to attend an informational meeting about the Beginning Farmer Tax Credit program. The meeting will take place at 6:30 p.m. on Monday, December 23 in Room 103 at the Pipestone campus.

The Minnesota Department of Agriculture’s Rural Finance Authority accepts applications for the annual program designed to benefit both beginning farmers and asset owners. The program provides financial incentives to landlords and sellers who rent or sell farmland, equipment, livestock, and other agricultural assets to new farmers.

Participants will learn how to qualify for state tax credits through the program, which is funded on a first-come, first-served basis. Funds are limited, so interested individuals are encouraged to apply early.

The program targets:

• Beginning farmers who have been farming for less than 10 years, are Minnesota residents, and meet specific net worth and income projection requirements.
• Landowners or asset owners interested in selling or renting agricultural assets, including land, livestock, equipment, and facilities, to beginning farmers.

Beginning farmers are eligible for up to $1,500 annually in tax credits for Farm Management tuition.

Asset owners eligible for tax credits in the following scenarios:

1. 8% (or 12% for emerging farmers) of the sale price of agricultural assets, up to $50,000 in tax credits.
2. 10% of gross rental income, up to $7,000 per year.
3. 15% of the cash equivalent of share rent agreements, up to $10,000 per year.

In addition to Minnesota, similar programs are available in Nebraska, Iowa, Ohio, Kentucky, and Pennsylvania.

For more information or questions, contact: Brian Boomgaarden

This meeting is an excellent opportunity for landowners and beginning farmers to explore the tax benefits and support available through this program.