Every Entity Reports … Unless
It appears that our most recent post on entities being required to provide information to the government may not been as clear as intended (at least for some readers).
The reality is all entities will be required to report this information to the government UNLESS you are considered to be a large operation (more than $5 million in gross receipts and more than 20 full-time employees).
There are very few grain operations that will meet both the greater than $5 million gross receipts and more than 20 full-time employees. This means that almost all farm operations will be required to provide this information in the near future.
We would guess that this will be required by some date early in 2023. It will not need to happen in 2022 since the final regulations have not been issued yet.
We also want to extend a Happy New Year to everyone. As I write this, we are continuing to get snow. I would estimate in the last two days we have gotten close to 20 inches of snow and it will be close to zero tonight. We need the snow and hope that there is more coming and those that are still dry will get some too.
Paul Neiffer is a certified public accountant and business advisor specializing in income taxation, accounting services, and succession planning for farmers and agribusiness processors. Paul is a principal with CliftonLarsonAllen in Walla Walla, Washington, as well as a regular speaker at national conferences and contributor at agweb.com. Raised on a farm in central Washington, he has been immersed in the ag industry his entire life, including the last 30 years professionally. Paul and his wife purchase an 180 acre ranch in 2016 and enjoy keeping it full of animals.
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