May 6, 2021
Wisconsin Farm Technology Days, the biggest ag show in Wisconsin, is gearing up to open July 20-22, 2021 in Eau Claire.
Last year’s event had to be canceled because of the pandemic, and there are many people working hard to ensure that safety protocols are in place to hold the show this year.
April 15, 2021
Farmers and ranchers are known for innovation. Did you know that sometimes your innovation can make you eligible for tax credits? In this Spotlight on Ag podcast, Wipfli’s Christina Schultz and Kendra Goodman share their insights about research and development tax credits with Lane Nordlund at Western Ag Network. This conversation includes an overview of the types of agriculture activities that qualify and how to claim the credit.
March 2, 2021
When the Coronavirus Aid Relief and Economic Security (CARES) Act was enacted on March 27, 2020, it retroactively changed net operating loss (NOL) carryback rules back to pre-Tax Cuts & Jobs Act (TCJA) for tax years 2018-2020.
February 8, 2021
By Bradley Cook
Farmers, ranchers and agribusinesses are trying to untangle the complexities of COVID-19 relief programs like the Payroll Protection Program (PPP) with enrollment and forgiveness, the Coronavirus Food Assistance Program and more.
February 5, 2021
Does your farm or ranch qualify for a PPP2 loan?
Together with Lane Nordlund from Western Ag Network, Ryan Tangedal and Dustin Wiesner share insights on the first and second rounds of PPP — including eligibility, the application process and loan forgiveness. They also discuss the Employee Retention Credit and insights on preparing your financial records for the first few quarters of 2021.
February 1, 2021
Much was speculated on during the 2020 presidential campaign — including possible changes in the federal income, estate, gift and employment tax areas. Now that President Biden is in his first year in office, we’ll highlight some key points in his proposed tax plan that impact ag producers and businesses.
December 7, 2020
December is here, which means it’s time for farmers and ranchers to do some year-end tax planning. Harvest season is over for many, and attention has turned to reviewing financial results for the year. Here are three things you need to think about with regard to year-end planning.
November 18, 2020
This year, many agricultural producers applied for and received a Paycheck Protection Program (PPP) loan — gaining some quick cash flow and the potential to have the loan forgiven. But PPP loans have also come with tax implications, unanswered questions and planning opportunities.
October 5, 2020
Now that we’re only a few weeks away from the U.S. presidential election, we’re receiving numerous tax-related questions from our ag clients. Many are wondering how each candidate’s tax platform might impact the agribusiness industry, agricultural producers, business owners and their employees if enacted.
September 21, 2020
On September 18, President Trump and USDA Secretary Sonny Perdue announced a second round of the Coronavirus Food Assistance Program (CFAP). CFAP 2 will provide funding to eligible producers negatively impacted by COVID-19.
August 14, 2020
In the last week of July, I shared a blog post, Will there be a Coronavirus Food Assistance Program 2.0? Well, CFAP 2.0 has arrived.
On August 11, 2020, U.S. Secretary of Agriculture Sonny Perdue announced an extension of the application deadline for CFAP assistance from August 28 to September 11, 2020, and that producers with previously approved applications will also receive their final payment. Additionally, the USDA extended the list of eligible crops based on feedback from farmers and ranchers.
July 28, 2020
Ag producers who applied for relief payments through the Coronavirus Food Assistance Program (CFAP) were only guaranteed 80% of the payment they were eligible for. Bill Northey, undersecretary for farm production and conservation at the USDA, has indicated there should be enough money available to give farmers the remaining 20% by the time signup for the program ends on August 28.
July 1, 2020
By Bradley Cook
We appreciate the positive feedback you share with us and are happy to see that the content resonates with you — which we also see demonstrated in how our subscription list continues to grow month after month. Just like you, we want to keep improving and growing, so please continue to share your thoughts with us and let us know what topics you’d like to see (or not see) in the future.
May 5, 2020
By Bradley Cook
One thing is constant in today’s COVID-19 business climate, and that’s change. Yesterday, May 4th, we released a blog that I wrote at the end of last week that stated that the Small Business Association (SBA) had placed a hold on accepting Economic Injury Disaster Loans (EIDLs) from agribusinesses.
May 4, 2020
By Bradley Cook
From the CARES Act to H-2A visas, there’s been quite a bit of news coming from the agribusiness industry.
Today we’re covering two programs that have the biggest impacts on producers: CFAP and EIDL.
March 30, 2020
By Bradley Cook
As the pandemic continues to spread, new concerns have risen, but there’s also relief on the horizon in terms of legislation. Let’s talk about what’s new.
March 19, 2020
By Bradley Cook
As the 2020 crop season approaches here in the U.S., many agribusinesses are concerned about the new coronavirus, COVID-19. What impact is the virus having on the agriculture industry? What impact could it have throughout 2020?
COVID-19 has the potential to impact nearly every facet of business. To help all of our clients navigate the constantly shifting circumstances, we’ve created a resource center on our website.
March 12, 2020
2020 has brought some exciting news for farm and ranch employers. On January 1, 2020, a new type of medical expense reimbursement plan — the Individual Coverage Health Reimbursement Arrangement (ICHRA) — became effective.
How is it different from other plans? An ICHRA is funded entirely with employer contributions. It is a reimbursement arrangement. Instead of paying healthcare costs directly, the employer periodically reimburses participating employees.
March 9, 2020
On March 3, 2020, Wisconsin governor Tony Evers signed a bill that modified the language in Wisconsin Act 167 that defined qualified receipts that are used in the calculation for the Wisconsin agriculture credit. The tax credit now includes crop insurance proceeds as qualified receipts in the computation.
March 2, 2020
Agriculture is becoming a high-tech business. Farmers and ranchers are using technology to grow more crops and raise more animals on less land, controls pests and disease, and use data to make faster, better decisions.
In 2020, the use of technology in agriculture is only going to expand. And it’s doing so on the heels of these top four tech trends:
February 21, 2020
By Bradley Cook
As we move into tax season, it’s a good reminder that there were quite a few changes made by the Tax Cuts and Jobs Act (TCJA) impacting ag producers.
Although we don’t anticipate any major tax legislation for the 2020 filing season, if there are changes, they are likely to be minimal in comparison to the changes made by the TCJA.
So, what do you need to know for the 2019 filing season? Here are the top seven things to remember:
February 3, 2020
By Bradley Cook
Many in agriculture weren’t sad to see 2019 come to a close. For most, it was a pretty tough year. Low commodity prices and difficult growing conditions were prevalent across much of the country, and the weight of uncertainty in international trade only served to make things worse.
December 20, 2019
How many farmers reading this blog have received payment in exchange for granting an easement on your lands?
We’ve seen a fairly significant increase in this over the past few years, which leads to today’s topic: the income tax ramifications of selling an easement on your lands.
An easement can take different forms, which depend on its purpose and duration. The income tax ramifications of selling an easement can also differ.
December 10, 2019
You have a will, so you figure you’re covered, right?
Maybe, but maybe not. There are a number of reasons why you should review your estate documents regularly, from tax-related issues to changing family dynamics. Let’s walk through a couple of the significant items to consider:
November 20, 2019
Let’s face it, to say this was a tough year would be an understatement. From early snow and freezing temperatures to lighter yields and lackluster prices, this year has left little to write home about.
November 8, 2019
It’s that time of year again. The weather is changing, holidays are around the corner and our lives are going to slow down any day now. Right?
October 21, 2019
If you are a farmer or rancher looking to cut your payroll taxes, paying your employees in goods or hiring your children may help you save money.
September 20, 2019
By Bradley Cook
It’s hard to believe that it’s already been one year since we launched Ag Conversations. And the past year in the world of agriculture has been a busy one. Looking back, here’s a small sample of what we’ve seen:
August 23, 2019
While driving to the Wisconsin State Cranberry Growers Association Summer Trade Show event a couple of weeks ago, I was reminded how much our local farm communities rely on international markets to sell their products.
August 19, 2019
Ag producers are deeply committed to providing the world with safe, quality food. It comes as no surprise that there has been a consistent rise in the number of conversations about using blockchain technology in agriculture and the food supply chain.
July 25, 2019
By Bradley Cook
In the Northwest, this year marks the 100-year anniversary of when Wipfli started helping ag producers. Hugh Galusha, Sr. started his firm (which became Galusha Higgins & Galusha) in 1919 in Helena, Montana, serving the tax and accounting needs of the area’s farmers and ranchers.
June 25, 2019
It’s hard to believe that in just a couple of weeks, Wisconsin Farm Technology Days will be starting. The annual event, hosted this year from July 23-25 on the Walter Grain Farm in Johnson Creek, is something the agriculture community in Wisconsin and surrounding states look forward to. Each year there is a different family farm that hosts the event, which moves around the state to spread the economic impact as well as highlight different sub industries within agriculture in Wisconsin.
June 12, 2019
The ag economy could certainly use an upswing. Unfortunately, the current downcycle is lasting longer than the average historical patterns. In the past, the market has been consistent with a three-year pattern, where we experience three years of prosperity followed by three years of a down market. We are currently in an 11-year cycle, of which we experienced seven years of prosperity followed by the current four plus years of a down market.
June 6, 2019
Ag producers in many states could use some relief from wet weather conditions delaying spring planting. Many of you are fighting the clock and calendar, and my thoughts are with you. You deserve a break — and maybe even some market stability.
May 8, 2019
By Todd Kostman
For most farm and ranch owners, bookkeeping probably doesn’t top the list of their favorite chores. However, the financial health of your business depends on good financial records. Having your financials in proper order allows you to make better business decisions. Your accountant also appreciates accurate and complete records for tax planning and preparation as well as strategic planning purposes, and so does your lender.
April 23, 2019
For farm and ranch owners, your lender is an indispensable partner for your business and critical to the success of your operation. The key to successfully working with your lender is to realize it is an important relationship where mutual trust is necessary. But sometimes it’s not easy to know how to move forward, so we’ve put together six tips on how to build or maintain an optimal relationship with your lender:
April 11, 2019
Today’s agriculture practices are not the same as when I was a kid growing up on a large dairy farm in Minnesota. Sure, we had automation in our milking parlor and for some of our machinery, but we definitely were not dependent on the internet to operate our farm.
March 27, 2019
What’s your farm or ranch really worth? If you’re an owner, chances are you’ve asked yourself that question a time or two, probably wondered about it for a few moments and then moved on to the next task on your list. However, it’s worth taking the time to answer this question, as there are a number of reasons to know and understand the value of your business, whether yours is a working farm or ranch, or any type business associated with agriculture.
March 14, 2019
The Research and Development (R&D) Tax Credit has been around since 1981, and for many years it was a temporary measure that was renewed for a year or two at a time. In 2015 the tax code was enhanced and the credit became permanent. For many people, the term “R&D” conjures thoughts of lab coats and beakers. The good news is, you don’t need to wear a lab coat to qualify. It’s available to entities of all different sizes and in many different industries — including agriculture. The credit provides dollar-for-dollar reduction and creates an immediate deduction for tax purposes, providing additional cash flow.
March 4, 2019
Agriculture is an industry impacted by many factors, including weather, production cycles, economic cycles, technology, government programs and trade policies. Earlier in this decade, Net Farm Income was more than $120 billion according to the USDA. Since then, due in large part to robust production volumes, the prices of several commodities have decreased significantly the past five years.
February 7, 2019
To assist you in creating and implementing your transition plan, Wipfli’s Business Transition Group (BTG) brings together a team of professionals with experience in succession and business transition planning, corporate planning and entity structure, estate planning and a depth of knowledge of the ag industry.
January 28, 2019
Every farm or ranch will transition eventually, whether voluntarily or involuntarily. This blog is the first in a two-part series that will start the conversation about what you can do to make sure your transition is a successful one for both you and the next generation of operators.
January 24, 2019
By Bradley Cook
Over the past several months, members of our ag practice have been attending and presenting at ag trade shows in the Northwest and Midwest. I find myself referring to the period between November and February as “convention season,” but I’d like to call it “conversation season.” It’s a busy time for me, but I always enjoy the time I get to spend with clients and friends in the industry and learn about what’s on your mind.
January 9, 2019
The Tax Cuts and Jobs Act (TCJA) passed in December of 2017 was heralded as a tax simplification. While that may be true for an individual who earns a paycheck and little else, the reality is, for an agricultural business owner, the TCJA made things more complex. Having an experienced CPA preparing your taxes is more important than ever.
December 11, 2018
Now that crops are harvested, livestock are tended to and equipment is being addressed, it may seem a little late in the year to be looking at our financial strength and year-end tax planning. However, it may not be too late. Many new changes took place with the passing of the Tax Cuts and Jobs Act (TCJA), and many items are still available to us, particularly in the ag industry. These laws can assist you in obtaining your near and long-term goals. The following are items to consider as we near the end of the year.
December 4, 2018
You may have heard that farm tax returns are due by March 1, but you also may have heard that farmers are required to pay quarterly estimates. So which guideline do you need to follow?
November 29, 2018
We are now in open enrollment season for health insurance for 2019, and many who work in the agriculture industry are wondering if there are any solutions for affordable health insurance. While the Affordable Care Act is still in effect, there is some reprieve from the penalties associated with not having insurance at all.
November 14, 2018
By Todd Kostman
Retirement plans are a crucial component of any business transition plan. Saving today in a retirement plan allows for flexibility in when and how you transition your farm or ranch. What type of retirement plan you choose to invest in now can have a substantial impact as well.
November 1, 2018
The Tax Cuts and Jobs Act (TCJA), passed in December 2017, has created many opportunities for ag producers. It has lowered rates for each of the seven individual tax brackets, created a flat 21% tax rate for C corporations and increased the personal standard deduction as well as the Section 179 deduction limit and bonus depreciation limit.
October 11, 2018
As we continue to keep a pulse on United States tariff and trade policies, it seems like new headlines sweep across the news cycle daily. In fact, I’m almost certain that more significant developments will arise between now and the day this article is published! The latest announcements indicated the U.S. has implemented its new tariff on Chinese products, and China responded almost immediately by imposing additional tariffs on U.S. goods. On a different note, the U.S. and South Korea recently signed an updated trade deal to which the American beef market is reacting positively.
September 30, 2018
The IRS recently issued new proposed regulations under Section 199A to clarify gray areas and change an unintended tax advantage for farmers who sell to cooperatives, created as part of the Tax Cuts and Jobs Act of 2017.
September 16, 2018
By Bradley Cook
On behalf of Wipfli’s agribusiness team, I am proud to announce the launch of a new and exciting platform for sharing knowledge, perspectives and education with you: our blog, Ag Conversations! As its name suggests, we want this blog to be focused on you and the topics you care about most. The purpose of this platform is not just for us to talk about what’s happening in the industry — we’re here to listen.