Precision Land Forming Amortization

The Internal Revenue Service allows an individual or entity to amortize investments in precision land forming at a yearly rate of 25% of farming revenue.  For example, the Baltzer Farm has a projected precision land forming expenditure of $835,344.  This capital expenditure can be written off as follows:

Thus $59,136 of the $835,344 capitalized expense can be amortized and deducted from the farm’s taxable income.  This advantageous tax write-off is one of the added benefits of modernizing a farm via precision land forming.