Stevens, Sloan & Shah CPAs
Stevens, Sloan & Shah CPAs
  • Home
  • Our Firm
    • Mr. Stevens
    • Mr. Sloan
    • Mr. Shah
  • Our Team
    • Mr. Shah
    • Michael Shah
    • Neil Shah
    • Dennis Shaler
  • Our Expertise
    • Agriculture & Farming
    • Real Estate & Construction
    • Faith-Based Institutions
    • High Net-Worth Individuals
    • Family Businesses
    • Banks & Financial Institutions
  • Our Services
    • Wealth Creation
    • Consulting
    • Estate Planning
    • Taxation
    • Virtual CFO & Accounting
    • Technology & Systems Implementation
  • Blog
  • Resources
    • Forms & Templates
    • File Share
    • Online Resources
    • Remote Support
  • Contact Us
    • Monterey County
    • Silicon Valley
  • Home
  • Our Firm
    • Mr. Stevens
    • Mr. Sloan
    • Mr. Shah
  • Our Team
    • Mr. Shah
    • Michael Shah
    • Neil Shah
    • Dennis Shaler
  • Our Expertise
    • Agriculture & Farming
    • Real Estate & Construction
    • Faith-Based Institutions
    • High Net-Worth Individuals
    • Family Businesses
    • Banks & Financial Institutions
  • Our Services
    • Wealth Creation
    • Consulting
    • Estate Planning
    • Taxation
    • Virtual CFO & Accounting
    • Technology & Systems Implementation
  • Blog
  • Resources
    • Forms & Templates
    • File Share
    • Online Resources
    • Remote Support
  • Contact Us
    • Monterey County
    • Silicon Valley

"THE SSS UPDATE"

To inform and educate

Farm Income Averaging

4/14/2014

0 Comments

 
The Internal Revenue Code provides a special provision for farmers and fisherman who have income that varies greatly from year to year called "income averaging." In addition to fluctuating income, if there is a major tax rate change as is the case for 2013, income averaging may be especially beneficial for you if you are a farmer or fisherman and are lucky enough to be subject to the top tax rate of 39.6% in 2013, 2014 and 2015.
If your taxable income includes any taxable income from farming or fishing, it probably varies greatly from year to year like the taxable income of most farmers and fishermen. As a result of this income variation, your applicable tax rate may vary from 0% to 39.6%. Farm income averaging allows you to average your income and "throw" some income into lower tax rate years to reduce your tax liability. 

The farm income averaging rules are complicated and complex. If you have questions regarding this or regarding any of the other special rules for farmers, please feel free to give us a call or an email.

Please note that every individual tax situation is unique. Before you embark on any specific tax position, it is important to consult your tax adviser. The above isn't and shouldn't be construed as tax or professional advice. 
0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    Archives

    October 2016
    November 2015
    July 2015
    June 2014
    May 2014
    April 2014
    July 2013
    February 2011

    Categories

    All
    Compliance
    Estate Planning
    Estate Tax
    Farm Income Averaging
    Farming
    Farm Taxation
    FBAR
    FLP
    Foreign Assets
    Foreign Bank Accounts
    Gift Tax
    Hot Assets
    International Tax
    LLC
    Mergers & Acquisitions
    New Rules
    Partnership Tax
    Payroll
    Sale Of Business
    Succession Planning
    Taxation
    Tax Planning
    Tax Rates
    Tax Tips & Tricks
    Technical Termination

    RSS Feed

Privacy Policy and Disclaimer
© Copyright 2015 - Stevens, Sloan & Shah CPAs - A California Professional Corporation
975 West Alisal Street, Suite D, Salinas, CA 93901  ||  1631 Willow Street, Suite 110, San Jose, CA 95125
Serving Salinas, Monterey, King City, Soledad, Carmel, the greater Monterey County Area, Silicon Valley and the Greater Bay Area