SB 138 – Governor Parson signed a bill into law that amends multiple sections of Missouri law including adding an income tax deduction for farmers who sell farmland to or enter into a lease, rental, or crop-share agreement with a beginning farmer.
A farmer who sells the land to a beginning farmer may subtract specified percentages of the amount of capital gains received from the sale of the land from their income.
A farmer who enters into a lease, rental, or crop share agreement with a beginning farmer may subtract the amount of income received from the agreement, up to $25,000, per tax year. To claim the deduction, the lease, rental, or crop-share agreement cannot exceed ten years.
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Categories: Missouri, Business, Government & Policy