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Level 2
posted Nov 19, 2023 9:11:38 AM

Filing Form F for a foreign farm

I am a US citizen and file a 1040. I personally own a farm in France, which I manage remotely. It has a loss. Can I file Form F with my Form 1040, to claim the loss, against my US income?

 

Hugh Aiken

0 5 629
1 Best answer
Level 15
Nov 19, 2023 2:00:13 PM

Are you not using TurboTax? 

 

There should be no reason why you could not use a net loss if you materially participated.

5 Replies
Level 15
Nov 19, 2023 11:39:41 AM

Yes, provided you materially participate in the farm. Do you?

 

See https://www.irs.gov/instructions/i1040sf#en_US_2022_publink17152rd0e523

Level 2
Nov 19, 2023 1:45:30 PM

Yes, I do very materially participate.

In the meantime, I have tried to understand the Form F instructions. They explain many things about how losses are hard to claim. But they do not say anything about whether losses on a foreign farm are deductible.

 

Do you know of any official irs publication that says I can declare losses from a foreign farm against us income to any degree what-so-ever?

 

Or should I assume it is ok and file?

 

Hugh Aiken

Level 15
Nov 19, 2023 2:00:13 PM

Are you not using TurboTax? 

 

There should be no reason why you could not use a net loss if you materially participated.

Level 2
Nov 19, 2023 2:05:02 PM

Thank you for this encouraging reply. If I can file Form F on an amended 2022 1040 (yes, I filed my 1040 for 2022 using Turbo Tax, but on paper, because Turbo Tax does not support Forl 5471 yet - too bad), it could save me about $34,000.

 

Sincerely,

 

Hugh

Level 2
Nov 19, 2023 2:16:14 PM

Material participation

 

equipment maintenance