Benefits of Gifting Agricultural Commodities of Grain and Livestock...A Way to Give Back
Tuesday, March 15, 2016
Benefits of Gifting Agricultural Commodities of Grain and Livestock…A Way To Give Back
Deuel County farmers, and friends outside of Deuel County, that are ranchers or farmers can save significant taxes by contributing commodities such as corn or cattle to Deuel Area Development. Contributing commodities rather than cash contributions saves you significant taxes.
Here is briefly how it works:
- When you as an agricultural producer transfer legal ownership of grain or livestock to a 501 ©3 charitable organization such as Deuel Area Development before the commodity is sold, the producer will not realize taxable income from a sale, thus avoiding the taxes.
- The producer is able to deduct the entire cost of the production of the commodity on Schedule F tax return.
- Every producer’s situation is unique; but savings may be realized on federal and self-employment tax.
- Consult with your tax advisor fits with your situation. Your decision can benefit our county and communities.
Organizations like DADi cannot operate without the local businesses and citizens contributing or becoming members of DADi. I was asked recently what does a membership in our organization get you. I’m not sure how to answer that. DADi is here available to help and assist Entrepreneurs with coaching and business plans, helping existing businesses expand, providing and helping make contacts with outside resources, or possibly assisting in aiding a business transition between owners. It’s helping with community development and trying to get the word out about DC in media and more. It’s about welcoming returnees, newcomers, working with housing and existing businesses. It’s anything we can make it but for sure about working with other organizations to build and grow Deuel County. Local citizen’s are asked to join at a minimal fee to become a member. Also if you donate to DADi for memorials, your gift is tax-deductible.
I recently spoke with a young woman who contacted DADi. She had no idea where to turn and was under a deadline for getting some help. Rather than be afraid of the unknowns and not reach out, she contacted DADi. She was immediately put in touch with someone that would guide her and help her business needs.
We had 8 business inquiries this past year on new businesses and there were 12 new business start-ups in Deuel County. Not all of those 12 were with DADi’s assistance, but new entrepreneurs are getting started; whether it’s online or in our communities. Economic Development is a local responsibility. It doesn’t just happen. It rests with us.
Category: The Directors Corner