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Internal Revenue Service
2011 Instructions for Schedule F
Use Schedule F (Form 1040) to report farm income and expenses. File it with Form 1040,
1040NR, 1041, 1065, or 1065-B.
Profit or Loss
Your farming activity may subject you to state and local taxes and other requirements
such as business licenses and fees. Check with your state and local governments for more
From Farming
information.
Additional information. Pub. 225 has more information and examples to help you complete
your farm tax return. It also lists important dates that apply to farmers.
• Form 4562 to claim depreciation (including the special allowance) on assets placed in service in 2011, to claim amortization that
began in 2011, to make an election under section 179 to expense
certain property, or to report information on vehicles and other
listed property.
• Form 4684 to report a casualty or theft gain or loss involving
farm business property, including purchased livestock held for
draft, breeding, sport, or dairy purposes. See Pub. 225 for more
information on how to report various farm losses, such as losses due
to death of livestock or damage to crops or other farm property.
• Form 4797 to report sales, exchanges, or involuntary conversions (other than from a casualty or theft) of certain farm property.
Also use this form to report sales of livestock held for draft, breeding, sport, or dairy purposes.
• Form 4835 to report rental income based on crop or livestock
shares produced by a tenant if you did not materially participate in
the management or operation of a farm. This income is not subject
to self-employment tax. See Pub. 225.
• Form 6198 to figure your allowable loss if you have a business
loss and you have amounts invested in the business for which you
are not at risk.
• Form 8582 to figure your deductible loss from passive activities.
• Form 8824 to report like-kind exchanges.
• Form 8903 to take a deduction for income from domestic
production activities.
Section references are to the Internal Revenue Code unless
otherwise noted.
What’s New
Future developments. For the latest information about Schedule F
(Form 1040), including any developments after these instructions
were released, go to www.irs.gov/form1040.
New merchant card reporting requirements. We added new lines
to implement reporting of farm income received via merchant card
(credit and debit cards) and third party network payments. These
amounts are reported as “specified” income on Schedule F (Form
1040). However, for 2011, the IRS has deferred the requirement to
report these amounts. Therefore, enter zero on lines 1a, 2a, 7a, 8a,
37a, 42a, and 43a, and report farm income on lines 1b, 2b, 7b, 8b,
37b, 42b, and 43b. See the instructions for Part I.
Standard mileage rate. The standard mileage rate for business use
of your vehicle increased to 51 cents per mile for miles driven
before July 1, 2011, and increased to 55.5 cents per mile for miles
driven after June 30, 2011. See the instructions for line 10.
Information reporting requirements. New lines F and G address
your required filing of Forms 1099 in 2011. See the line F instructions for details and see the General Instructions for Certain Information Returns to determine whether you are required to file any
Forms 1099.
Single-member limited liability company (LLC). Generally, a
Heavy highway vehicle use tax. This tax has been extended through
single-member domestic LLC is not treated as a separate entity for
federal income tax purposes. If you are the sole member of a
domestic LLC engaged in the business of farming, file Schedule F
(Form 1040). However, you can elect to treat a domestic LLC as a
corporation. See Form 8832 for details on the election.
General Instructions
Heavy highway vehicle use tax. If you use certain highway trucks,
September 30, 2012. See Form 2290 and its instructions for the
extended filing deadline for 2011.
truck-trailers, tractor trailers, or buses in your farming business, you
may have to pay a federal highway motor vehicle use tax. See the
Instructions for Form 2290 to find out if you owe this tax and go to
www.irs.gov/trucker for the latest developments.
Other Schedules and Forms You May Have
To File
• Schedule E (Form 1040), Part I, to report rental income from
Information returns. You may have to file information returns for
wages paid to employees, certain payments of fees and other nonemployee compensation, interest, rents, royalties, real estate transactions, annuities, and pensions. For details, see the instructions for
line F and the 2011 General Instructions for Certain Information
Returns.
If you received cash of more than $10,000 in one or more related
transactions in your farming business, you may have to file Form
8300. For details, see Pub. 1544.
pastureland based on a flat charge. However, report on Schedule F
(Form 1040), line 8a, pasture income received from taking care of
someone else’s livestock. Also use Schedule E (Form 1040), Part I,
to report farm rental income and expenses of a trust or estate based
on crops or livestock produced by a tenant.
• Schedule J (Form 1040) to figure your tax by averaging your
farm income over the previous 3 years. Doing so may reduce your
tax.
• Schedule SE (Form 1040) to pay self-employment tax on
income from your farming business.
• Form 3800 to claim any general business credits.
Reportable transaction disclosure statement. If you entered into a
reportable transaction in 2011, you must file Form 8886 to disclose
information if your federal income tax liability is affected by your
F-1
Nov 04, 2011
Cat. No. 17152R
participation in the transaction. You may have to pay a penalty if
you are required to file Form 8886 but do not do so. You may also
have to pay interest and penalties on any reportable transaction
understatements. For more information on reportable transactions,
see the Instructions for Form 8886.
Specific Instructions
Filers of Forms 1041, 1065, and 1065-B. Do not complete the block
Husband-Wife Farm
labeled “Social security number (SSN).” Instead, enter the employer identification number (EIN) issued to the estate, trust, or
partnership on line D.
If you and your spouse jointly own and operate a farm as an
unincorporated business and share in the profits and losses, you can
be taxed as a partnership and file Form 1065, or you each can file
Schedule F (Form 1040) as a qualified joint venture.
Line B
On line B, enter one of the 14 principal agricultural activity codes
listed in Part IV on page 2 of Schedule F (Form 1040). Select the
code that best describes the source of most of your income.
Qualified Joint Venture
If you and your spouse each materially participate as the only
members of a jointly owned and operated farm, and you file a joint
return for the tax year, you can elect to be treated as a qualified joint
venture instead of a partnership. This election in most cases will not
increase the total tax owed on the joint return, but it does give each
of you credit for social security earnings on which retirement benefits are based and for Medicare coverage without filing a partnership return. For an explanation of “material participation,” see the
instructions for Schedule C (Form 1040), line G, and the instructions for line E, later, in these instructions.
Line C
If you use the cash method, check the box for “Cash.” Complete
Schedule F (Form 1040), Parts I and II. In most cases, report
income in the year in which you actually or constructively received
it and deduct expenses in the year you paid them. However, if the
payment of an expenditure creates an asset having a useful life that
extends substantially beyond the close of the year, it may not be
deductible or may be deductible only in part for the year of the
payment. See chapter 2 of Pub. 225.
If you use an accrual method, check the box for “Accrual.”
Complete Schedule F (Form 1040), Parts II, III, and Part I, line 9.
Generally, report income in the year in which you earned it and
deduct expenses in the year you incurred them, even if you did not
pay them in that year. Accrual basis taxpayers are put on a cash
basis for deducting business expenses owed to a related cash-basis
taxpayer. Other rules determine the timing of deductions based on
economic performance. See Pub. 538.
Making the election. To make this election, you must divide all
items of income, gain, loss, deduction, and credit attributable to the
farming business between you and your spouse in accordance with
your respective interests in the venture. Each of you must file a
separate Schedule F (Form 1040). On each line of your separate
Schedule F (Form 1040), you must enter your share of the applicable income, deduction, or loss. Each of you must also file a separate
Schedule SE (Form 1040) to pay self-employment tax, as applicable.
As long as you remain qualified, your election cannot be revoked without IRS consent.
Farming syndicates. Farming syndicates cannot use the cash
method of accounting. A farming syndicate may be a partnership,
LLC, S corporation, or any other enterprise other than a C corporation if:
• The interests in the business have at any time been offered for
sale in a way that would require registration with any federal or
state agency, or
• More than 35% of the loss during any tax year is shared by
limited partners or limited entrepreneurs. A limited partner is one
who can lose only the amount invested or required to be invested in
the partnership. A limited entrepreneur is a person who does not
take any active part in managing the business.
For more information on qualified joint ventures, go to IRS.gov.
Enter “qualified joint venture” in the search box and select “Election for Husband and Wife Unincorporated Businesses.”
Exception —Community Income
If you and your spouse wholly own an unincorporated farming
business as community property under the community property
laws of a state, foreign country, or U.S. possession, the income and
deductions are reported as follows.
• If only one spouse participates in the business, all of the
income from that business is the self-employment earnings of the
spouse who carried on the business.
• If both spouses participate, the income and deductions are
allocated to the spouses based on their distributive shares.
• If either or both you and your spouse are partners in a partnership, see Pub. 541.
• If you and your spouse elected to treat the business as a
qualifying joint venture, see Husband-Wife Farm, earlier.
Line D
Enter on line D the employer identification number (EIN) that was
issued to you on Form SS-4. Do not enter your SSN. Do not enter
another taxpayer’s EIN (for example, from any Forms 1099-MISC
that you received.) If you do not have an EIN, leave line D blank.
You need an EIN only if you have a qualified retirement plan or
are required to file employment, excise, alcohol, tobacco, or firearms returns, or if you are a payer of gambling winnings. If you
need an EIN, see the Instructions for Form SS-4.
The only states with community property laws are Arizona,
California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. A change in your reporting position will be
treated as a conversion of the entity.
Single-member LLCs. If you are a sole owner of an LLC that is not
Estimated Tax
treated as a separate entity for federal income tax purposes, you
may have an EIN that was issued to the LLC (and in the LLC’s legal
name) if you are required to file employment tax returns and certain
excise tax returns. However, you should enter on line D only the
EIN issued to you and in your name as the sole proprietor of
your farming business. If you do not have such an EIN, leave line
D blank. Do not enter on line D the EIN issued to the LLC.
If you had to make estimated tax payments for 2011 and you
underpaid your estimated tax, you will not be charged a penalty if
both of the following apply.
• Your gross farming or fishing income for 2010 or 2011 is at
least two-thirds of your gross income, and
• You file your 2011 tax return and pay the tax due by March 1,
2012.
Single-member limited liability companies (LLCs) with employees.
Single-member LLCs that are disregarded as entities separate from
their owner for federal tax purposes are required to file employment
For details, see chapter 15 of Pub. 225.
F-2
tax returns using the LLC’s name and employer identification number (EIN) rather than the LLC owner’s name and EIN. Single-member LLCs not previously needing an EIN may need to obtain an EIN
for the payment and reporting of these taxes. For more information,
see the Instructions for Form SS-4.
Sales of livestock because of weather-related conditions. If you
sold livestock because of drought, flood, or other weather-related
conditions, you can elect to report the income from the sale in the
year after the year of sale if all of the following apply.
• Your main business is farming.
• You can show that you sold the livestock only because of
weather-related conditions.
• Your area qualified for federal aid.
Filers of Forms 1041, 1065, and 1065-B. Enter on line D the EIN
issued to the estate, trust, or partnership.
Line E
See chapter 3 of Pub. 225 for details.
Material participation. For the definition of material participation
Chapter 11 bankruptcy. If you were a debtor in a chapter 11
for purposes of the passive activity rules, see the instructions for
Schedule C (Form 1040), line G. If you meet any of the material
participation tests described in those instructions, check the “Yes”
box.
bankruptcy case during 2011, see Chapter 11 Bankruptcy Cases
under Income in the instructions for Form 1040 and the instructions
for Schedule SE (Form 1040).
Forms 1099 or CCC-1099-G. If you received Forms 1099 or
If you are a retired or disabled farmer, you are treated as materially participating in a farming business if you materially participated 5 or more of the 8 years preceding your retirement or
disability. Also, a surviving spouse is treated as materially participating in a farming activity if he or she actively manages the farm
and the real property used for farming meets the estate tax rules for
special valuation of farm property passed from a qualifying decedent.
CCC-1099-G showing amounts paid to you, first determine if the
amounts are to be included with farm income. Then use the following chart to determine where to report the income on Schedule F
(Form 1040). Include the Form 1099 or CCC-1099-G amounts in
the total amount reported on that line.
Where to
report
Form
Check the “No” box if you did not materially participate. If you
checked “No” and you have a loss from this business, see Limit on
passive losses below. If you have a profit from this business activity
but have current year losses from other passive activities or prior
year unallowed passive activity losses, see the Instructions for Form
8582.
1099-PATR . . . . . . . . . . . . .
1099-A . . . . . . . . . . . . . . . . .
1099-MISC for crop insurance
1099-G or CCC-1099-G
• for disaster payments . . .
• for other agricultural
program payments . . . . .
Limit on passive losses. If you checked the “No” box and you have
a loss from this business, you may have to use Form 8582 to figure
your allowable loss, if any, to enter on Schedule F (Form 1040), line
34. In most cases, you can deduct losses from passive activities only
to the extent of income from passive activities. For details, see Pub.
925.
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Line 3a
Line 5b
Line 6a
............
Line 6a
............
Line 4a
Form 1099-K. If you receive merchant card or third party network
payments in 2011, you should receive a Form 1099-K showing
those payments. Box 1 of Form 1099-K shows the amount of the
payments. Merchant cards include, but are not limited to, Visa and
MasterCard. Third party networks include, but are not limited to,
Paypal and Google Checkout.
Line F
If you made any payments in 2011 that would require you to file
any Forms 1099, check the “Yes” box. Otherwise, check the “No”
box. See the General Instructions for Certain Information Returns if
you are unsure whether you are required to file any Forms 1099.
Also see the separate specific instructions for each Form 1099.
In some cases, you may not receive Forms 1099-K for merchant
card or third party network payments that you need to include as
income.
For 2011, you are not required to report income received via
merchant card or third party network payers, so enter zero on the
lines for “specified” income (lines 1a, 2a, 7a, and 8a). Report all
your farming income, regardless of how it was received, on lines
1b, 2b, 7b, or 8b.
Generally, you must file Form 1099-MISC if you paid
at least $600 in rents, services, prizes, medical and
TIP
health care payments, and other income payments. The
Guide to Information Returns on page 15 of the General
Instructions for Certain Information Returns has more information,
including the due dates for the various information returns.
Form 1099-MISC. You may receive Form 1099-MISC for other
types of income. In this case, report it on whichever line best
describes the income, but do not include it on the line for merchant
card or third party network payments. For example, if you receive a
Form 1099-MISC for custom farming work, include this amount on
line 7b.
Part I. Farm Income—Cash
Method
In Part I, show income received for items listed on lines 1 through
8b. In most cases, include both the cash actually or constructively
received and the fair market value of goods or other property
received for these items. Income is constructively received when it
is credited to your account or set aside for you to use. However,
direct payments or counter-cyclical payments received under the
Food, Conservation, and Energy Act of 2008 are required to be
included in income only in the year of actual receipt.
Line 1b
Enter income you receive from sales of livestock and other items
you bought for resale on line 1b.
Line 2b
If you ran the farm yourself and received rents based on crop
shares or farm production, report these rents as income on line 2a or
2b, depending on the method of payment. See Form 1099-K later.
Enter income you receive from sales of livestock, produce, grains
and other products you raised on line 2b.
F-3
Forfeited CCC loans. Include the full amount forfeited on line 5b,
Lines 3a and 3b
even if you reported the loan proceeds as income. This amount may
be reported to you on Form 1099-A.
If you did not elect to report the loan proceeds as income, also
include the forfeited amount on line 5c.
If you did elect to report the loan proceeds as income, you
generally will not have an entry on line 5c. But if the amount
forfeited is different from your basis in the commodity, you may
have an entry on line 5c.
See chapter 3 of Pub. 225 for details on the tax consequences of
electing to report CCC loan proceeds as income or forfeiting CCC
loans.
If you received a CCC loan in 2011, your farm losses may be
reduced or eliminated. See Excess farm loss rules, later, for more
details.
If you received distributions from a cooperative in 2011, you should
receive a Form 1099-PATR. On line 3a, show your total distributions from cooperatives. This includes patronage dividends, nonpatronage distributions, per-unit retain allocations, and redemptions
of nonqualified written notices of allocation and per-unit retain
certificates.
Show patronage dividends received in cash and the dollar
amount of qualified written notices of allocation. If you received
property as patronage dividends, report the fair market value of the
property as income. Include cash advances received from a marketing cooperative. If you received per-unit retains in cash, show the
amount of cash. If you received qualified per-unit retain certificates, show the stated dollar amount of the certificates.
Do not include as income on line 3b patronage dividends from
buying personal or family items, capital assets, or depreciable assets. Enter these amounts on line 3a only. Because you do not report
patronage dividends from these items as income, you must subtract
the amount of the dividend from the cost or other basis of these
items.
Lines 6a Through 6d
In most cases, you must report crop insurance proceeds in the year
you receive them. Federal crop disaster payments are treated as
crop insurance proceeds. However, if 2011 was the year of damage,
you can elect to include certain proceeds in income for 2012. To
make this election, check the box on line 6c and attach a statement
to your return. See chapter 3 of Pub. 225 for a description of the
proceeds for which an election can be made and for what you must
include in your statement.
In most cases, if you elect to defer any eligible crop insurance
proceeds, you must defer all such crop insurance proceeds (including federal crop disaster payments).
Enter on line 6a the total crop insurance proceeds you received
in 2011, even if you elect to include them in income for 2012.
Enter on line 6b the taxable amount of the proceeds you received
in 2011. Do not include proceeds you elect to include in income for
2012.
Enter on line 6d the amount, if any, of crop insurance proceeds
you received in 2010 and elected to include in income for 2011.
Lines 4a and 4b
Enter on line 4a the total of the following amounts.
• Direct payments.
• Counter-cyclical payments.
• Price support payments.
• Market gain from the repayment of a secured Commodity
Credit Corporation (CCC) loan for less than the original loan
amount.
• Diversion payments.
• Cost-share payments (sight drafts).
• Payments in the form of materials (such as fertilizer or lime) or
services (such as grading or building dams).
These amounts are government payments you received and are
usually reported to you on Form 1099-G. You may also receive
Form CCC-1099-G from the Department of Agriculture showing
the amounts and types of payments made to you.
Line 7b
Enter income you receive from custom hire (machine work) on line
7b.
On line 4b, report only the taxable amount. For example, do not
report the market gain shown on Form CCC-1099-G on line 4b if
you elected to report CCC loan proceeds as income in the year
received (see Lines 5a Through 5c next). No gain results from
redemption of the commodity because you previously reported the
CCC loan proceeds as income. You are treated as repurchasing the
commodity for the amount of the loan repayment. However, if you
did not report the CCC loan proceeds under the election, you must
report the market gain on line 4b.
Line 8b
Enter on line 8b income not otherwise reportable on lines 1 through
7b. This includes the following types of income.
• Illegal federal irrigation subsidies. See chapter 3 of Pub. 225.
• Bartering income.
• Income from cancellation of debt. In most cases, if a debt is
canceled or forgiven, you must include the canceled amount in
income. If a federal agency, financial institution, or credit union
canceled or forgave a debt you owed of $600 or more, it should send
you a Form 1099-C, or similar statement, by January 31, 2012,
showing the amount of debt canceled in 2011. However, you may
be able to exclude the canceled debt from income. See Pub. 4681
for details.
• State gasoline or fuel tax refunds you received in 2011.
• The amount of credit for alcohol and cellulosic biofuel fuels
claimed on Form 6478.
• The amount of credit for biodiesel and renewable diesel fuels
claimed on Form 8864.
• The amount of credit for federal tax paid on fuels claimed on
your 2010 Form 1040. For information on including the credit in
income, see chapter 2 of Pub. 510.
If you received a direct or counter-cyclical payment in 2011,
your farm losses may be reduced or eliminated. See Excess farm
loss rules, later, for more details.
Lines 5a Through 5c
Commodity Credit Corporation (CCC) loans. In most cases, you
do not report CCC loan proceeds as income. However, if you
pledge part or all of your production to secure a CCC loan, you can
elect to report the loan proceeds as income in the year you receive
them. If you make this election (or made the election in a prior
year), report loan proceeds you received in 2011 on line 5a. Attach a
statement to your return showing the details of the loan(s). See
chapter 3 of Pub. 225.
F-4
• Any recapture of excess depreciation on any listed property,
including any section 179 expense deduction, if the business use
percentage of that property decreased to 50% or less in 2011. Use
Part IV of Form 4797 to figure the recapture. See the instructions
for Schedule C (Form 1040), line 13, for the definition of listed
property.
• The inclusion amount on leased listed property (other than
vehicles) when the business use percentage drops to 50% or less.
See chapter 5 of Pub. 946 to figure the amount.
• Any recapture of the deduction for clean-fuel vehicles and
clean-fuel vehicle refueling property used in your farming business.
For details on how to figure recapture, see Regulations section
1.179A-1.
• Any income from breeding fees, or fees from renting teams,
machinery, or land.
• The gain or loss on the sale of commodity futures contracts if
the contracts were made to protect you from price changes. These
are a form of business insurance and are considered hedges. If you
had a loss in a closed futures contract, enclose the amount of the
loss in parentheses.
the total amount capitalized in parentheses on line 32f (to indicate a
negative amount) and enter “263A” in the space to the left of the
total. See Preproductive period expenses, later, for details.
But you may be able to currently deduct rather than capitalize
the expenses of producing a plant with a preproductive period of
more than 2 years. See Election to deduct certain preproductive
period expenses next.
Election to deduct certain preproductive period expenses. If the
preproductive period of any plant you produce is more than 2 years,
you can elect to currently deduct the expenses rather than capitalize
them. But you cannot make this election for the costs of planting or
growing citrus or almond groves incurred before the end of the
fourth tax year beginning with the tax year you planted them in their
permanent grove. You are treated as having made the election by
deducting the preproductive period expenses in the first tax year for
which you can make this election and by applying the special rules,
discussed later.
In the case of a partnership or S corporation, the election
must be made by the partner, shareholder, or member.
This election cannot be made by tax shelters, farming
syndicates, partnerships, or corporations required to use
the accrual method of accounting under section 447 or 448(a)(3).
For property acquired and hedging positions established, you must clearly identify on your books and
records both the hedging transaction and the item(s) or
aggregate risk being hedged.
Unless you obtain IRS consent, you must make this election for
the first tax year in which you engage in a farming business involving the production of property subject to the capitalization rules.
You cannot revoke this election without IRS consent.
Special rules. If you make the election to deduct preproductive
expenses for plants:
• Any gain you realize when disposing of the plants is ordinary
income up to the amount of the preproductive expenses you deducted, and
• The alternative depreciation rules apply to property placed in
service in any tax year your election is in effect.
Purchase or sales contracts are not true hedges if they offset
losses that already occurred. If you bought or sold commodity
futures with the hope of making a profit due to favorable price
changes, report the profit or loss on Form 6781 instead of this line.
Line 9
Since lines 1a, 2a, 7a, and 8a are zero, enter on line 9 the total of
amounts from lines 1e, 2b, 3b, 4b, 5a, 5c, 6b, 6d, 7b, and 8b.
For details, see Uniform Capitalization Rules in chapter 6 of
Pub. 225.
Part II. Farm Expenses
Prepaid farm supplies. In most cases, if you use the cash method of
accounting and your prepaid farm supplies are more than 50% of
your other deductible farm expenses, your deduction for those
supplies may be limited. Prepaid farm supplies include expenses for
feed, seed, fertilizer, and similar farm supplies not used or consumed during the year.
Do not deduct the following.
• Personal or living expenses (such as taxes, insurance, or repairs on your home) that do not produce farm income.
• Expenses of raising anything you or your family used.
• The value of animals you raised that died.
• Inventory losses.
• Personal losses.
They also include the cost of poultry that would be allowable as
a deduction in a later tax year if you were to:
1. Capitalize the cost of poultry bought for use in your farming
business and deduct it ratably over the lesser of 12 months or the
useful life of the poultry, and
2. Deduct the cost of poultry bought for resale in the year you
sell or otherwise dispose of it.
If you were repaid for any part of an expense, you must subtract
the amount you were repaid from the deduction.
Capitalizing costs of property. If you produced real or tangible
personal property or acquired property for resale, certain expenses
must be included in inventory costs or capitalized. These expenses
include the direct costs of the property and the share of any indirect
costs allocable to that property. However, these rules generally do
not apply to expenses of:
If the limit applies, you can deduct prepaid farm supplies that do
not exceed 50% of your other deductible farm expenses in the year
of payment. You can deduct the excess only in the year you use or
consume the supplies (other than poultry, which is deductible as
explained above). For details and exceptions to these rules, see
chapter 4 of Pub. 225.
1. Producing any plant that has a preproductive period of 2 years
or less,
2. Raising animals, or
3. Replanting certain crops if they were lost or damaged by
reason of freezing temperatures, disease, drought, pests, or casualty.
Whether or not this 50% limit applies, your expenses for livestock feed paid during the year but consumed in a later year may be
subject to the rules explained in the line 16 instructions.
Exceptions (1) and (2) do not apply to tax shelters,
farming syndicates, partnerships, or corporations required to use the accrual method of accounting under
section 447 or 448(a)(3).
Line 10
You can deduct the actual expenses of operating your car or truck or
take the standard mileage rate. You must use actual expenses if you
used your vehicle for hire or you used five or more vehicles simultaneously in your farming business (such as in fleet operations). You
If you capitalize your expenses, do not reduce your deductions
on lines 10 through 32e by the capitalized expenses. Instead, enter
F-5
cannot use actual expenses for a leased vehicle if you previously
used the standard mileage rate for that vehicle.
Line 13
You can take the standard mileage rate for 2011 only if you:
• Owned the vehicle and used the standard mileage rate for the
first year you placed the vehicle in service, or
• Leased the vehicle and are using the standard mileage rate for
the entire lease period.
Enter amounts paid for custom hire or machine work (the machine
operator furnished the equipment).
Do not include amounts paid for rental or lease of equipment
you operated yourself. Instead, report those amounts on line 24a.
If you take the standard mileage rate:
Line 14
• Multiply the number of business miles driven before July 1 by
51 cents, and the number of business miles driven after June 30 by
55.5 cents, and
• Add to this amount your parking fees and tolls, and enter the
total on line 10.
You can deduct depreciation of buildings, improvements, cars and
trucks, machinery, and other farm equipment of a permanent nature.
Do not deduct depreciation on your home, furniture or other
personal items, land, livestock you bought or raised for resale, or
other property in your inventory.
Do not deduct depreciation, rent or lease payments, or your
actual operating expenses.
You can also elect under section 179 to expense a portion of the
cost of certain property you bought in 2011 for use in your farming
business. The section 179 election is made on Form 4562.
If you deduct actual expenses:
• Include on line 10 the business portion of expenses for gasoline, oil, repairs, insurance, tires, license plates, etc., and
• Show depreciation on line 14 and rent or lease payments on
line 24a.
For information about depreciation and the section 179 deduction, see Pub. 946 and chapter 7 of Pub. 225. For details on the
special depreciation allowance, see chapter 3 of Pub. 946.
If you claim any car or truck expenses (actual or the standard
mileage rate), you must provide the information requested on Form
4562, Part V. Be sure to attach Form 4562 to your return.
See the Instructions for Form 4562 for information on when you
must complete and attach Form 4562.
For details, see chapter 4 of Pub. 463.
Line 15
Deduct contributions to employee benefit programs that are not an
incidental part of a pension or profit-sharing plan included on line
23. Examples are accident and health plans, group-term life insurance, and dependent care assistance programs. If you made contributions on your behalf as a self-employed person to a dependent
care assistance program, complete Form 2441, Parts I and III, to
figure your deductible contributions to that program.
Line 12
Deductible conservation expenses generally are those that are paid
to conserve soil and water for land used in farming, to prevent
erosion of land used for farming, or for endangered species recovery. These expenses include (but are not limited to) costs for the
following.
• The treatment or movement of earth, such as leveling, grading,
conditioning, terracing, contour furrowing, and the restoration of
soil fertility.
• The construction, control, and protection of diversion channels, drainage ditches, irrigation ditches, earthen dams, watercourses, outlets, and ponds.
• The eradication of brush.
• The planting of windbreaks.
• The achievement of site-specific management actions recommended in recovery plans approved pursuant to the Endangered
Species Act of 1973.
Contributions you made on your behalf as a self-employed
person to an accident and health plan or for group-term life insurance are not deductible on Schedule F (Form 1040). However, you
may be able to deduct on Form 1040, line 29 (or on Form 1040NR,
line 29), the amount you paid for health insurance on behalf of
yourself, your spouse, and dependent(s) even if you do not itemize
your deductions. See the instructions for Form 1040, line 29, or
Form 1040NR, line 29, for details.
You must reduce your line 15 deduction by the amount of any
credit for small employer health insurance premiums determined on
Form 8941. See Form 8941 and its instructions to determine which
expenses are eligible for the credit.
These expenses can be deducted only if they are consistent with
a conservation plan approved by the Natural Resources Conservation Service of the Department of Agriculture or a recovery plan
approved pursuant to the Endangered Species Act of 1973, for the
area in which your land is located. If no plan exists, the expenses
must be consistent with a plan of a comparable state agency. You
cannot deduct the expenses if they were paid or incurred for land
used in farming in a foreign country.
Line 16
If you use the cash method, you cannot deduct when paid the cost of
feed your livestock will consume in a later year unless all of the
following apply.
• The payment was for the purchase of feed rather than a deposit.
• The prepayment had a business purpose and was not made
merely to avoid tax.
• Deducting the prepayment will not materially distort your
income.
Do not deduct expenses you paid or incurred to drain or fill
wetlands, or to prepare land for center pivot irrigation systems.
Your deduction cannot exceed 25% of your gross income from
farming (excluding certain gains from selling assets such as farm
machinery and land). If your conservation expenses are more than
the limit, the excess can be carried forward and deducted in later tax
years. However, the amount deductible for any one year cannot
exceed the 25% gross income limit for that year.
If all of the above apply, you can deduct the prepaid feed when
paid, subject to the overall limit for Prepaid farm supplies explained
earlier. If all of the above do not apply, you can deduct the prepaid
feed only in the year it is consumed.
For details, see chapter 5 of Pub. 225.
F-6
If you provided taxable fringe benefits to your employees, such as personal use of a car, do not include in farm
labor the amounts you depreciated or deducted elsewhere.
Line 18
Do not include the cost of transportation incurred in purchasing
livestock held for resale as freight paid. Instead, add these costs to
the cost of the livestock.
Line 23
Line 20
Enter your deduction for contributions to employee pension,
profit-sharing, or annuity plans. If the plan included you as a
self-employed person, enter contributions made as an employer on
your behalf on Form 1040, line 28 (or on Form 1040NR, line 28),
not on Schedule F (Form 1040).
Deduct on this line premiums paid for farm business insurance.
Deduct on line 15 amounts paid for employee accident and health
insurance. Amounts credited to a reserve for self-insurance or premiums paid for a policy that pays for your lost earnings due to
sickness or disability are not deductible. For details, see chapter 6 of
Pub. 535.
In most cases, you must file the applicable form listed next if
you maintain a pension, profit-sharing, or other funded-deferred
compensation plan. The filing requirement is not affected by
whether or not the plan qualified under the Internal Revenue Code,
or whether or not you claim a deduction for the current tax year.
There is a penalty for failure to timely file these forms.
Lines 21a and 21b
Interest allocation rules. The tax treatment of interest expense dif-
fers depending on its type. For example, home mortgage interest
and investment interest are treated differently. “Interest allocation”
rules require you to allocate (classify) your interest expense so it is
deducted (or capitalized) on the correct line of your return and
receives the right tax treatment. These rules could affect how much
interest you are allowed to deduct on Schedule F (Form 1040).
Form 5500-EZ. File this form if you have a one-participant retire-
In most cases, you allocate interest expense by tracing how the
proceeds of the loan are used. See chapter 4 of Pub. 535 for details.
ments for filing Form 5500-EZ or Form 5500-SF.
ment plan that meets certain requirements. A one-participant plan is
a plan that covers only you (or you and your spouse).
Form 5500-SF. File this form if you have a small plan (fewer than
100 participants in most cases) that meets certain requirements.
Form 5500. File this form for a plan that does not meet the require-
For details, see Pub. 560.
If you paid interest on a debt secured by your main home and
any of the proceeds from that debt were used in your farming
business, see chapter 4 of Pub. 535 to figure the amount to include
on lines 21a and 21b.
Lines 24a and 24b
If you rented or leased vehicles, machinery, or equipment, enter on
line 24a the business portion of your rental cost. But if you leased a
vehicle for a term of 30 days or more, you may have to reduce your
deduction by an inclusion amount. See Leasing a Car in chapter 4 of
Pub. 463 to figure this amount.
How to report. If you have a mortgage on real property used in
your farming business (other than your main home), enter on line
21a the interest you paid for 2011 to banks or other financial
institutions for which you received a Form 1098 (or similar statement). If you did not receive a Form 1098, enter the interest on line
21b.
Enter on line 24b amounts paid to rent or lease other property
such as pasture or farmland.
If you paid more mortgage interest than is shown on Form 1098,
see chapter 4 of Pub. 535 to find out if you can deduct the additional
interest. If you can, include the amount on line 21a. Attach a
statement to your return explaining the difference and enter “See
attached” in the margin next to line 21a.
Line 25
Enter amounts you paid for incidental repairs and maintenance of
farm buildings, machinery, and equipment that do not add to the
property’s value or appreciably prolong its life.
If you and at least one other person (other than your spouse if
you file a joint return) were liable for and paid interest on the
mortgage and the other person received the Form 1098, include
your share of the interest on line 21b. Attach a statement to your
return showing the name and address of the person who received
the Form 1098. In the margin next to line 21b, enter “See attached.”
Do not deduct repairs or maintenance on your home.
Line 29
Do not deduct interest you prepaid in 2011 for later years;
include only the part that applies to 2011.
You can deduct the following taxes on this line.
• Real estate and personal property taxes on farm business assets.
• Social security and Medicare taxes you paid to match what
you are required to withhold from farm employees’ wages without
consideration for the temporary employee payroll tax cut for 2011.
• Federal unemployment tax.
• Federal highway use tax.
• Contributions to state unemployment insurance fund or disability benefit fund if they are considered taxes under state law.
Line 22
Enter the amounts you paid for farm labor. Do not include amounts
paid to yourself. Reduce your deduction by the amounts claimed
on:
• Form 5884, Work Opportunity Credit, line 2;
• Form 8844, Empowerment Zone and Renewal Community
Employment Credit, line 2;
• Form 8845, Indian Employment Credit, line 4; and
• Form 8932, Credit for Employer Differential Wage Payments,
line 2.
Do not deduct the following taxes on this line.
• Federal income taxes, including your self-employment tax.
However, you can deduct your employer-equivalent portion of
self-employment tax on Form 1040, line 27 or Form 1040NR, line
27.
• Estate and gift taxes.
Include the cost of boarding farm labor but not the value of any
products they used from the farm. Include only what you paid
household help to care for farm laborers.
F-7
• Taxes assessed for improvements, such as paving and sewers.
• Taxes on your home or personal use property.
• State and local sales taxes on property purchased for use in
and entertainment. But there are exceptions and limitations. See the
instructions for Schedule C (Form 1040), lines 24a and 24b.
Preproductive period expenses. If you had preproductive period
your farming business. Instead, treat these taxes as part of the cost
of the property.
• Other taxes not related to your farming business.
expenses in 2011 that you are capitalizing, enter the total of these
expenses in parentheses on line 32f (to indicate a negative amount)
and enter “263A” in the space to the left of the total.
For details, see Capitalizing costs of property, earlier, and Uniform Capitalization Rules in chapter 6 of Pub. 225.
Line 30
Enter amounts you paid for gas, electricity, water, and other utilities
for business use on the farm. Do not include personal utilities. You
cannot deduct the base rate (including taxes) of the first telephone
line into your residence, even if you use it for your farming business. But you can deduct expenses you paid for your farming
business that are more than the cost of the base rate for the first
phone line. For example, if you had a second phone line, you can
deduct the business percentage of the charges for that line, including the base rate charges.
Line 33
If line 32f is a negative amount, subtract it from the total of lines 10
through 32e. Enter the result on line 33.
Line 34
If you have a loss, the amount of loss you can deduct this year may
be limited. If you checked the “No” box on line E, also see the
Instructions for Form 8582.
Lines 32a Through 32f
Individuals. Enter your net profit or deductible loss here and on
Include all ordinary and necessary farm expenses not deducted
elsewhere on Schedule F (Form 1040), such as advertising, office
supplies, etc. Do not include fines or penalties paid to a government
for violating any law.
Form 1040, line 18, and Schedule SE (Form 1040), line 1a. Complete lines 35 and 36 before entering the loss on line 34.
Nonresident aliens. Enter the net profit or deductible loss here and
on Form 1040NR, line 19. You should also enter this amount on
Schedule SE (Form 1040), line 1a if you are covered under the U.S.
social security system due to an international social security agreement currently in effect. See the Schedule SE (Form 1040) instructions for information on international social security agreements.
At-risk loss deduction. Any loss from this activity that was not
allowed as a deduction last year because of the at-risk rules is
treated as a deduction allocable to this activity in 2011. However,
for the loss to be deductible, the amount “at risk” must be increased.
Bad debts. See chapter 10 of Pub. 535.
Partnerships. Enter the net profit or deductible loss here and on
Business start-up costs. If your farming business began in 2011,
Form 1065, line 5 (or Form 1065-B, line 7). Because the excess
farm loss rules are applied at the partner level, the partnership will
notify each partner on the Schedule K-1 if the partnership received
one of the subsidies discussed later. Each partner should complete
one of the excess farm loss worksheets to determine if there is an
excess farm loss.
you can elect to deduct up to $5,000 of certain business start-up
costs paid or incurred after October 22, 2004. The $5,000 limit is
reduced (but not below zero) by the amount by which your start-up
costs exceed $50,000. Your remaining start-up costs can be amortized over a 180-month period, beginning with the month the farming business began. For details, see chapters 4 and 7 of Pub. 225.
For amortization that begins in 2011, you must complete and attach
Form 4562.
Trusts and estates. Enter the net profit or deductible loss here and
on Form 1041, line 6. If you have a loss, complete lines 35 and 36 to
determine if your loss is limited before entering the loss on line 34.
Business use of your home. You may be able to deduct certain
expenses for business use of your home, subject to limitations. Use
the worksheet in Pub. 587 to figure your allowable deduction. Do
not use Form 8829.
Community income. If you and your spouse had community in-
Forestation and reforestation costs. Reforestation costs are gener-
Earned income credit. If you have a net profit on line 34, this
come and are filing separate returns, see the instructions for Schedule SE (Form 1040) before figuring self-employment tax.
ally capital expenditures. However, for each qualified timber property, you can elect to expense up to $10,000 ($5,000 if married
filing separately) of qualifying reforestation costs paid or incurred
in 2011.
You can elect to amortize the remaining costs over 84 months.
For amortization that begins in 2011, you must complete and attach
Form 4562.
The amortization election does not apply to trusts, and the expense election does not apply to estates and trusts. For details on
reforestation expenses, see chapters 4 and 7 of Pub. 225.
amount is earned income and may qualify you for the earned income credit if you meet certain conditions. See the instructions for
Form 1040, lines 64a and 64b, for details.
Conservation Reserve Program (CRP) payments. If you received
social security retirement or disability benefits in addition to CRP
payments, the CRP payments are not subject to self-employment
tax. You will deduct these payments from your net farm profit or
loss on Schedule SE (Form 1040), line 1b. Do not make any adjustment on Schedule F (Form 1040).
Legal and professional fees. You can include on this line fees
Line 35
charged by accountants and attorneys that are ordinary and necessary expenses directly related to your farming business. Include
fees for tax advice and for the preparation of tax forms related to
your farming business. Also include expenses incurred in resolving
asserted tax deficiencies related to your farming business.
Excess farm loss rules. If you received certain subsidies in 2011,
your farm loss may be reduced or eliminated. Check the “Yes” box
if you received one of the subsidies discussed next. Otherwise,
check the “No” box.
• Any direct or counter-cyclical payments under title I of the
Food, Conservation, and Energy Act of 2008 (or any payment you
elected instead of this payment).
• Any Commodity Credit Corporation loan.
Tools. You can deduct the amount you paid for tools that have a
short life or cost a small amount, such as shovels and rakes.
Travel, meals, and entertainment. In most cases, you can deduct
expenses for farm business travel and 50% of your business meals
F-8
Your excess farm loss for a year is the amount by which your
total deductions from your farming business(es) exceed your total
gross income or gain from your farming business(es), plus a threshold amount. The threshold amount is the greater of $300,000
($150,000 if your filing status is married filing separately) or your
total net profit or loss from farming business(es) for the last five
years (2006-2010), including for each of those years any net gain
from the sale of property used in your farming business(es). To
determine if you have an excess farm loss, use one of the worksheets.
Farming business defined. For purposes of calculating your excess farm loss for the year, farming business has the meaning used
in section 263A(e)(4) (generally the trade or business of farming,
including operating a nursery or sod farm or raising or harvesting of
trees bearing fruit, nuts, or other crops, or ornamental trees, such as
evergreen trees, if they are cut within the first 6 years).
Farming business also includes the trade or business of processing a farm commodity even if it is not incidental to your farm.
Additionally, farming business includes participating in a cooperative that processes a farm commodity. As a result, any activity
reported on Schedule C (Form 1040) that involves processing a
farm commodity must be included when determining your excess
farm loss, and any losses from that Schedule C (Form 1040) activity
may be limited by the excess farm loss rules. Farming business also
includes any interest in a partnership or S corporation involved in a
farming business.
The worksheets may be used to determine if you have an excess
farm loss. These worksheets are provided for your recordkeeping
purposes only, and which worksheet you should use will depend on
the nature and extent of your farming business(es).
Any excess farm loss not allowed in 2011 may be carried forward and deducted on Schedule F (Form 1040) in the first year in
which you do not have an excess farm loss. In determining your
excess farm loss for a year in which you received a subsidy described above, do not take into account any deduction for losses
from fire, storm, or other casualty, or from disease or drought
involving any farming business. Also, you must determine your
excess farm loss before calculating any limits due to passive activity on Form 8582.
If you checked “Yes” on line 35, use one of the worksheets in
these instructions to determine if you have an excess farm loss that
reduces the amount of loss you can deduct this year. If you have
more than one farming business with an overall loss this year,
allocate the excess farm loss amount on a pro rata basis among
those farming businesses after determining if your loss is further
limited by the at-risk rules, later.
Excess farm loss worksheets. You may complete one of these
worksheets to determine if you have an excess farm loss in 2011.
Do not attach these worksheets to your return; keep them for your
records. You will need them next year when any excess farm loss
may be deducted, as discussed above. Which worksheet you should
use depends on your farming business, or businesses, as explained
in Farming business defined, earlier.
• Use Worksheet 1 if your farming business(es) include only
profit or loss reported on Schedule F (Form 1040), (including
multiple copies of Schedule F (Form 1040)).
• Use Worksheet 2 if your farming businesses include Schedule
F (Form 1040) and any Schedule C (Form 1040) activity of processing a farm commodity.
• Use Worksheet 3 if your farming businesses include Schedule
F (Form 1040) and a Schedule E (Form 1040) interest in a partnership or S corporation involved in a farming business.
• Use Worksheet 4 if your farming businesses include Schedule
F (Form 1040), Schedule C (Form 1040) activity of processing a
farm commodity, a Schedule E (Form 1040) interest in a partnership or S corporation involved in a farming business, and farm
rental income or loss reported on Form 4835.
• Use Worksheet 5 if your farming business is limited to only
farm rental income or loss reported on Form 4835.
If you file multiple copies of Schedule F (Form 1040), Schedule
C (Form 1040), or Schedule E (Form 1040) as part of your farming
businesses, you must combine the income, deductions, and net gain/
loss for purposes of determining whether you have an excess farm
loss on the worksheets. If you sold any property used in your
farming businesses, you must include any gain or loss on the sale of
that property (reported on Form 4797, Sales of Business Property,
or Schedule D (Form 1040), Capital Gains and Losses). Be sure to
include the gain or loss attributable to property used in your farming
business(es), as defined earlier in Farming business defined. Do not
include gain or loss attributable to property used in nonfarming
business(es) or nonbusiness property.
Effect on other deductions. Certain deductions, including the
domestic production activities deduction under section 199 and the
deduction for the employer-equivalent portion of self-employment
tax, may need to be included when determining your excess farm
losses if the deductions are attributable to your farming business, as
defined earlier.
In particular, the deduction for the employer-equivalent portion
of self-employment tax will not be attributable to your farming
business on Schedule F (Form 1040) or your business of processing
a farm commodity on Schedule C (Form 1040) if the combined
amounts on those schedules produce a loss. But the deduction for
the employer-equivalent portion of self-employment tax should be
taken into account when the combined amounts on those schedules
produce income (or the farm optional method on Schedule SE
(Form 1040) is used) and there is a large loss on Schedule E (Form
1040) passed through from a partnership or S corporation.
Line 36
At-risk rules. In most cases, if you have a loss from a farming
activity and amounts invested in the activity for which you are not
at risk, you must complete Form 6198 to figure your allowable loss.
The at-risk rules generally limit the amount of loss (including loss
on the disposition of assets) you can claim to the amount you could
actually lose in the activity.
Check box 36b if you have amounts invested in this activity for
which you are not at risk, such as the following.
• Nonrecourse loans used to finance the activity, to acquire
property used in the activity, or to acquire the activity that are not
secured by your own property (other than property used in the
activity). However, there is an exception for certain nonrecourse
financing borrowed by you in connection with holding real property.
• Cash, property, or borrowed amounts used in the activity (or
contributed to the activity, or used to acquire the activity) that are
protected against loss by a guarantee, stop-loss agreement, or other
similar arrangement (excluding casualty insurance and insurance
against tort liability).
• Amounts borrowed for use in the activity from a person who
has an interest in the activity, other than as a creditor, or who is
related under section 465(b)(3)(C) to a person (other than you)
having such an interest.
Figuring your deductible loss. Before determining your deductible
loss, you must check box 36a or 36b to determine if your loss on
line 34 is further limited by the at-risk rules. Follow the instructions
below that apply to your box 36 activity.
If all your investment amounts are at risk in this activity, check
box 36a. If you checked the “Yes” box on Schedule F (Form 1040),
line E, enter your loss on line 34 and on Form 1040, line 18, and
Schedule SE (Form 1040), line 1a. Nonresident aliens – enter the
deductible loss on Form 1040NR, line 19 (and Schedule SE (Form
1040), line 1a if applicable – see Nonresident aliens under the line
34 instructions, earlier). Estates and trusts – enter the deductible
loss on Form 1041, line 6.
F-9
But if you checked the “No” box on Schedule F (Form 1040),
line E, you may need to complete Form 8582 to figure your allowable loss to enter on line 34. See the Instructions for Form 8582.
If some investment is not at risk, check box “b.” If you checked
“Yes” on line 35, use one of the worksheets to determine if you
have an excess farm loss that reduces the amount of loss you can
deduct this year. If you have more than one farming business with
an overall loss this year, allocate the excess farm loss amount on a
pro rata basis among those farming businesses.
If you checked the “Yes” box on Schedule F (Form 1040), line
E, first complete Form 6198 to determine the amount of your
deductible loss and enter that amount on Form 1040, line 18, and
Schedule SE (Form 1040), line 1a. Nonresident aliens – enter the
deductible loss on Form 1040NR, line 19 (and Schedule SE (Form
1040), line 1a if applicable – see Nonresident aliens under the line
34 instructions, earlier). Estates and trusts – enter the deductible
loss on Form 1041, line 6. Partnerships – do not complete Form
6198; enter your profit or loss on line 34 and on Form 1065, line 5
(or Form 1065-B, line 7).
But if you checked the “No” box on Schedule F (Form 1040),
line E, see the Instructions for Form 8582 to determine your further
loss limitation. If your at-risk amount is zero or less, enter -0- on
line 34. Be sure to attach Form 6198 to your return.
If you checked “No” on line 35, complete Form 6198 to determine the amount of your deductible loss. If you checked the “Yes”
box on Schedule F (Form 1040), line E, enter that amount on line 34
and on Form 1040, line 18, and Schedule SE (Form 1040), line 1a.
Nonresident aliens – enter the deductible loss on Form 1040NR,
line 19 (and Schedule SE (Form 1040), line 1a if applicable – see
Nonresident aliens under the line 34 instructions, earlier). Estates
and trusts – enter the deductible loss on Form 1041, line 6. Partnerships – do not complete Form 6198; enter your profit or loss on line
34 and on Form 1065, line 5 (or Form 1065-B, line 7).
But if you checked the “No” box on Schedule F (Form 1040),
line E, see the Instructions for Form 8582 to determine your further
loss limitation. If your at-risk amount is zero or less, enter -0- on
line 34. Be sure to attach Form 6198 to your return.
If you checked box 36b because some investment is not
at risk and you do not attach Form 6198, the processing
of your return may be delayed.
Any loss from this activity not allowed for 2011 only because of
the at-risk rules is treated as a deduction allocable to the activity in
2012.
For details, see Pub. 925 and the Instructions for Form 6198.
Part III. Farm Income—Accrual
Method
You may be required to use the accrual accounting method. If you
use the accrual method, report farm income when you earn it, not
when you receive it. In most cases, you must include animals and
crops in your inventory if you use this method. See Pub. 225 for
exceptions, inventory methods, how to change methods of accounting, and rules that require certain costs to be capitalized or included
in inventory. For information about accounting periods, see Pub.
538, Accounting Periods and Methods.
Chapter 11 bankruptcy. If you were a debtor in a chapter 11
bankruptcy case during 2011, see the instructions for Form 1040
and the instructions for Schedule SE (Form 1040).
Lines 37b Through 42b
See the instructions for lines 2a through 7b.
Line 43b
See the instructions for line 8b.
F-10
Excess Farm Loss Worksheet 1—Schedule F (Form 1040) farming
business only
Keep for Your Records
CAUTION: In determining if you have an excess farm loss, do not take into account any deductions for losses arising by reason of fire, storm, or other
casualty, or by reason of disease or drought, involving your farming business.
1. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 33. Is
this amount less than $300,000 ($150,000 if married filing separately)? If
yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1.
2. Subtract $300,000 ($150,000 if married filing separately) from line 1 . . . . .
2.
3. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 9 . . . . .
3.
4. Is line 3 greater than or equal to line 2? If yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 5.
5. Enter your net gain/loss from the sale of farming business property reported
on Form 4797 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.
6. Enter your net gain/loss from the sale of farming business property reported
on Schedule D (Form 1040) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6.
7. Combine line 5 and line 6. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.
8. Add line 3 and line 7. Is this greater than or equal to line 2? If yes, stop here. You do not have an excess farm
loss in 2011. If no, continue to line 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8.
9. Enter the amount from your 2010 Schedule(s) F (Form 1040), line 36 . . . .
9.
10. Enter your combined net gain/loss from the sale of farming business
property reported on your 2010 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10.
11. Enter the amount from your 2009 Schedule(s) F (Form 1040), line 36 . . . .
11.
12. Enter your combined net gain/loss from the sale of farming business
property reported on your 2009 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12.
13. Enter the amount from your 2008 Schedule(s) F (Form 1040), line 36 . . . .
13.
14. Enter your combined net gain/loss from the sale of farming business
property reported on your 2008 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14.
15. Enter the amount from your 2007 Schedule(s) F (Form 1040), line 36 . . . .
15.
16. Enter your combined net gain/loss from the sale of farming business
property reported on your 2007 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16.
17. Enter the amount from your 2006 Schedule(s) F (Form 1040), line 36 . . . .
17.
18. Enter your combined net gain/loss from the sale of farming business
property reported on your 2006 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.
19. Combine lines 9 through 18. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19.
20. Enter the greater of line 19 or $300,000 ($150,000 if married filing separately) . . . . . . . . . . . . . . . . . . . . . . .
20.
21. Add line 8 and line 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
22. Excess farm loss. Subtract line 1 from line 21. If zero or less, you have an excess farm loss that reduces the
amount of loss you can deduct this year. If you have more than one farming business with an overall loss this
year, allocate the excess farm loss amount on a pro rata basis among those farming businesses . . . . . . . . . . . . .
22.
F-11
Excess Farm Loss Worksheet 2—Schedule F (Form 1040) farming
business(es) and Schedule C (Form 1040) activity of processing a
farm commodity
Keep for Your Records
CAUTION: In determining if you have an excess farm loss, do not take into account any deductions for losses arising by reason of fire, storm, or other
casualty, or by reason of disease or drought, involving your farming businesses.
1. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 33 . . . .
1.
2. Enter the total amount from your 2011 Schedule(s) C (Form 1040), line 28
and line 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2.
3. Add lines 1 and 2. Is this amount less than $300,000 ($150,000 if married filing separately)? If yes, stop here.
You do not have an excess farm loss in 2011. If no, continue to line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3.
4. Subtract $300,000 ($150,000 if married filing separately) from line 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.
5. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 9 . . . . .
5.
6. Enter the amount from your 2011 Schedule(s) C (Form 1040), line 7 . . . . .
6.
7. Combine line 5 and line 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.
8. Is line 7 greater than or equal to line 4? If yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 9.
9. Enter your net gain/loss from the sale of farming business property reported
on Form 4797 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9.
10. Enter your net gain/loss from the sale of farming business property reported
on Schedule D (Form 1040) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10.
11. Combine line 9 and line 10. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11.
12. Add line 7 and line 11. Is this greater than or equal to line 4? If yes, stop here. You do not have an excess farm
loss in 2011. If no, continue to line 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12.
13. Enter the amount from your 2010 Schedule(s) F (Form 1040), line 36 . . . .
13.
14. Enter the amount from your 2010 Schedule(s) C (Form 1040), line 31 . . . .
14.
15. Enter your combined net gain/loss from the sale of farming business
property reported on your 2010 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15.
16. Enter the amount from your 2009 Schedule(s) F (Form 1040), line 36 . . . .
16.
17. Enter the amount from your 2009 Schedule(s) C (Form 1040), line 31 . . . .
17.
18. Enter your combined net gain/loss from the sale of farming business
property reported on your 2009 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.
19. Enter the amount from your 2008 Schedule(s) F (Form 1040), line 36 . . . .
19.
20. Enter the amount from your 2008 Schedule(s) C (Form 1040), line 31 . . . .
20.
F-12
Excess Farm Loss Worksheet 2 (Continued)
21. Enter your combined net gain/loss from the sale of farming business
property reported on your 2008 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
22. Enter the amount from your 2007 Schedule(s) F (Form 1040), line 36 . . . .
22.
23. Enter the amount from your 2007 Schedule(s) C (Form 1040), line 31 . . . .
23.
24. Enter your combined net gain/loss from the sale of farming business
property reported on your 2007 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24.
25. Enter the amount from your 2006 Schedule(s) F (Form 1040), line 36 . . . .
25.
26. Enter the amount from your 2006 Schedule(s) C (Form 1040), line 31 . . . .
26.
27. Enter your combined net gain/loss from the sale of farming business
property reported on your 2006 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
27.
28. Combine lines 13 through 27. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
28.
29. Enter the greater of line 28 or $300,000 ($150,000 if married filing separately) . . . . . . . . . . . . . . . . . . . . . .
29.
30. Add lines 12 and 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
30.
31. Excess farm loss. Subtract line 3 from line 30. If zero or less, you have an excess farm loss that reduces the
amount of loss you can deduct this year. If you have more than one farming business with an overall loss this
year, allocate the excess farm loss amount on a pro rata basis among those farming businesses . . . . . . . . . . . .
31.
F-13
Excess Farm Loss Worksheet 3—Schedule F (Form 1040) farming
business(es) and Schedule E (Form 1040) partnership or S
corporation income or loss from farming business(es)
Keep for Your Records
CAUTION: In determining if you have an excess farm loss, do not take into account any deductions for losses arising by reason of fire, storm, or other
casualty, or by reason of disease or drought, involving your farming business(es).
1. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 33 . . . . .
1.
2. Enter the amount from your 2011 Schedule(s) E (Form 1040), line 31 . . . . .
2.
3. Add lines 1 and 2. Is this amount less than $300,000 ($150,000 if married filing separately)? If yes, stop here.
You do not have an excess farm loss in 2011. If no, continue to line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . .
3.
4. Subtract $300,000 ($150,000 if married filing separately) from line 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.
5. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 9 . . . . . .
5.
6. Enter the amount from your 2011 Schedule(s) E (Form 1040), line 30 . . . . .
6.
7. Combine line 5 and line 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.
8. Is line 7 greater than or equal to line 4? If yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 9.
9. Enter your net gain/loss from the sale of farming business property reported
on Form 4797 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9.
10. Enter your net gain/loss from the sale of farming business property reported
on Schedule D (Form 1040) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10.
11. Combine line 9 and line 10. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11.
12. Add line 7 and line 11. Is this greater than or equal to line 4? If yes, stop here. You do not have an excess farm
loss in 2011. If no, continue to line 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12.
13. Enter the amount from your 2010 Schedule(s) F (Form 1040), line 36 . . . . .
13.
14. Enter the amount from your 2010 Schedule(s) E (Form 1040), line 32 . . . . .
14.
15. Enter your combined net gain/loss from the sale of farming business property
reported on your 2010 Form 4797 and Schedule D (Form 1040). If zero or
less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15.
16. Enter the amount from your 2009 Schedule(s) F (Form 1040), line 36 . . . . .
16.
17. Enter the amount from your 2009 Schedule(s) E (Form 1040), line 32 . . . . .
17.
18. Enter your combined net gain/loss from the sale of farming business property
reported on your 2009 Form 4797 and Schedule D (Form 1040). If zero or
less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.
19. Enter the amount from your 2008 Schedule(s) F (Form 1040), line 36 . . . . .
19.
20. Enter the amount from your 2008 Schedule(s) E (Form 1040), line 32 . . . . .
20.
F-14
Excess Farm Loss Worksheet 3 (Continued)
21. Enter your combined net gain/loss from the sale of farming business property
reported on your 2008 Form 4797 and Schedule D (Form 1040). If zero or
less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
22. Enter the amount from your 2007 Schedule(s) F (Form 1040), line 36 . . . . .
22.
23. Enter the amount from your 2007 Schedule(s) E (Form 1040), line 32 . . . . .
23.
24. Enter your combined net gain/loss from the sale of farming business property
reported on your 2007 Form 4797 and Schedule D (Form (1040). If zero or
less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24.
25. Enter the amount from your 2006 Schedule(s) F (Form 1040), line 36 . . . . .
25.
26. Enter the amount from your 2006 Schedule(s) E (Form 1040), line 32 . . . . .
26.
27. Enter your combined net gain/loss from the sale of farming business property
reported on your 2006 Form 4797 and Schedule D (Form 1040). If zero or
less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
27.
28. Combine lines 13 through 27. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
28.
29. Enter the greater of line 28 or $300,000 ($150,000 if married filing separately) . . . . . . . . . . . . . . . . . . . . . .
29.
30. Add lines 12 and 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
30.
31. Excess farm loss. Subtract line 3 from line 30. If zero or less, you have an excess farm loss that reduces the
amount of loss you can deduct this year. If you have more than one farming business with an overall loss this
year, allocate the excess farm loss amount on a pro rata basis among those farming businesses . . . . . . . . . . . .
31.
F-15
Excess Farm Loss Worksheet 4—Schedule F (Form 1040) farming
business(es), Schedule C (Form 1040) activity of processing a farm
commodity, Schedule E (Form 1040) partnership or S corporation
income or loss from farming business(es), and Form 4835 rental
income or loss
Keep for Your Records
CAUTION: In determining if you have an excess farm loss, do not take into account any deductions for losses arising by reason of fire, storm, or other
casualty, or by reason of disease or drought, involving your farming business(es).
1. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 33 . . . .
1.
2. Enter the total amount from your 2011 Schedule(s) C (Form 1040), line 28
and line 30, for activity of processing a farm commodity . . . . . . . . . . . .
2.
3. Enter the amount from your 2011 Schedule(s) E (Form 1040), line 31, for
interest in a partnership or S corporation involved in farming businesses . .
3.
4. Enter the amount from your 2011 Form 4835, line 31 . . . . . . . . . . . . . .
4.
5. Add lines 1, 2, 3, and 4. Is this amount less than $300,000 ($150,000 if married filing separately)? If yes, stop
here. You do not have an excess farm loss in 2011. If no, continue to line 6 . . . . . . . . . . . . . . . . . . . . . . . .
5.
6. Subtract $300,000 ($150,000 if married filing separately) from line 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6.
7. Enter the amount from your 2011 Schedule(s) F (Form 1040), line 9 . . . . .
7.
8. Enter the amount from your 2011 Schedule(s) C (Form 1040), line 7 . . . .
8.
9. Enter the amount from your 2011 Schedule(s) E (Form 1040), line 30 . . . .
9.
10. Enter the amount from your 2011 Form 4835, line 7 . . . . . . . . . . . . . . .
10.
11. Combine lines 7, 8, 9, and 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11.
12. Is line 11 greater than or equal to line 6? If yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 13.
13. Enter your net gain/loss from the sale of farming business property reported
on Form 4797 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
13.
14. Enter your net gain/loss from the sale of farming business property reported
on Schedule D (Form 1040) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14.
15. Combine line 13 and line 14. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15.
16. Add lines 11 and 15. Is this greater than or equal to line 6? If yes, stop here. You do not have an excess farm
loss in 2011. If no, continue to line 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16.
TIP: Lines 17 through 43 help you calculate the threshold amount discussed in the instructions. The threshold
amount is the greater of $300,000 ($150,000 if married filing separately) or your total net profit or loss from
farming businesses for the last five years (2006-2010), including for each of those years any net gain or loss
from the sale of property used in your farming businesses.
17. Enter the amount from your 2010 Schedule(s) F (Form 1040), line 36 . . . .
17.
18. Enter the amount from your 2010 Schedule(s) C (Form 1040), line 31 . . . .
18.
19. Enter the amount from your 2010 Schedule(s) E (Form 1040), line 32 . . . .
19.
20. Enter the amount from your 2010 Form 4835, line 32 . . . . . . . . . . . . . .
20.
21. Enter your combined net gain/loss from the sale of farming business
property reported on your 2010 Form 4797 and Schedule D (Form 1040).
If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
22. Enter the amount from your 2009 Schedule(s) F (Form 1040), line 36 . . . .
22.
23. Enter the amount from your 2009 Schedule(s) C (Form 1040), line 31 . . . .
23.
24. Enter the amount from your 2009 Schedule(s) E (Form 1040), line 32 . . . .
24.
25. Enter the amount from your 2009 Form 4835, line 32 . . . . . . . . . . . . . .
25.
26. Enter your combined net gain/loss from the sale of farming business
property reported on your 2009 Form 4797 and Schedule D (Form 1040).
If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26.
27. Enter the amount from your 2008 Schedule(s) F (Form 1040), line 36 . . . .
27.
28. Enter the amount from your 2008 Schedule(s) C (Form 1040), line 31 . . . .
28.
(Continued on next page)
F-16
Excess Farm Loss Worksheet 4 (Continued)
29.
Enter the amount from your 2008 Schedule(s) E (Form 1040), line 32 . . . .
29.
30.
Enter the amount from your 2008 Form 4835, line 32 . . . . . . . . . . . . . . .
30.
31.
Enter your combined net gain/loss from the sale of farming business
property reported on your 2008 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
31.
32.
Enter the amount from your 2007 Schedule(s) F (Form 1040), line 36 . . . .
32.
33.
Enter the amount from your 2007 Schedule(s) C (Form 1040), line 31 . . . .
33.
34.
Enter the amount from your 2007 Schedule(s) E (Form 1040), line 32 . . . .
34.
35.
Enter the amount from your 2007 Form 4835, line 32 . . . . . . . . . . . . . . .
35.
36.
Enter your combined net gain/loss from the sale of farming business
property reported on your 2007 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
36.
37.
Enter the amount from your 2006 Schedule(s) F (Form 1040), line 36 . . . .
37.
38.
Enter the amount from your 2006 Schedule(s) C (Form 1040), line 31 . . . .
38.
39.
Enter the amount from your 2006 Schedule(s) E (Form 1040), line 32 . . . .
39.
40.
Enter the amount from your 2006 Form 4835, line 32 . . . . . . . . . . . . . . .
40.
41.
Enter your combined net gain/loss from the sale of farming business
property reported on your 2006 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
41.
42.
Combine lines 17 through 41. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
42.
43.
Enter the greater of line 42 or $300,000 ($150,000 if married filing separately) . . . . . . . . . . . . . . . . . . . . . .
43.
44.
Add lines 16 and 43 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
44.
45.
Excess farm loss. Subtract line 5 from line 44. If zero or less, you have an excess farm loss that reduces the
amount of loss you can deduct this year. If you have more than one farming business with an overall loss this
year, allocate the excess farm loss amount on a pro rata basis among those farming businesses . . . . . . . . . . . .
45.
F-17
Excess Farm Loss Worksheet 5—Form 4835 for farm rental income
or loss from farming business
Keep for Your Records
CAUTION: In determining if you have an excess farm loss, do not take into account any deductions for losses arising by reason of fire, storm, or other
casualty, or by reason of disease or drought, involving your farming business.
1. Enter the amount from your 2011 Form 4835, line 31. Is this amount less
than $300,000 ($150,000 if married filing separately)? If yes, stop here.
You do not have an excess farm loss in 2011. If no, continue to line 2 . . .
1.
2. Subtract $300,000 ($150,000 if married filing separately) from line 1 . . . .
2.
3. Enter the amount from your 2011 Form 4835, line 7 . . . . . . . . . . . . . . .
3.
4. Is line 3 greater than or equal to line 2? If yes, stop here. You do not have an excess farm loss in 2011. If no,
continue to line 5.
5. Enter your net gain/loss from the sale of farming business property reported
on Form 4797 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5.
6. Enter your net gain/loss from the sale of farming business property reported
on Schedule D (Form 1040) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6.
7. Combine line 5 and line 6. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.
8. Add line 3 and line 7. Is this greater than or equal to line 2? If yes, stop here. You do not have an excess farm
loss in 2011. If no, continue to line 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8.
9. Enter the amount from your 2010 Form 4835, line 32 . . . . . . . . . . . . . .
9.
10. Enter your combined net gain/loss from the sale of farming business
property reported on your 2010 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10.
11. Enter the amount from your 2009 Form 4835, line 32 . . . . . . . . . . . . . .
11.
12. Enter your combined net gain/loss from the sale of farming business
property reported on your 2009 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12.
13. Enter the amount from your 2008 Form 4835, line 32 . . . . . . . . . . . . . .
13.
14. Enter your combined net gain/loss from the sale of farming business
property reported on your 2008 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14.
15. Enter the amount from your 2007 Form 4835, line 32 . . . . . . . . . . . . . .
15.
16. Enter your combined net gain/loss from the sale of farming business
property reported on your 2007 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16.
17. Enter the amount from your 2006 Form 4835, line 32 . . . . . . . . . . . . . .
17.
18. Enter your combined net gain/loss from the sale of farming business
property reported on your 2006 Form 4797 and Schedule D (Form 1040). If
zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.
19. Combine lines 9 through 18. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19.
20. Enter the greater of line 19 or $300,000 ($150,000 if married filing separately) . . . . . . . . . . . . . . . . . . . . . .
20.
21. Add lines 8 and 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
22. Excess farm loss. Subtract line 1 from line 21. If zero or less, you have an excess farm loss that reduces the
amount of loss you can deduct this year. If you have more than one farming business with an overall loss this
year, allocate the excess farm loss amount on a pro rata basis among those farming businesses . . . . . . . . . . . .
22.
F-18
Printed on recycled paper
| File Type | application/pdf |
| File Title | 2011 Instruction 1040 Schedule F |
| Subject | Instructions for Schedule F (Form 1040), Profit or Loss From Farming |
| Author | W:CAR:MP:FP |
| File Modified | 2011-11-08 |
| File Created | 2011-11-04 |