Yes, if your farm is operational and you are engaged in this activity to produce a profit. It's not unusual to have a loss in the first year as you begin operations and gain momentum. The IRS determines profit intentions by the definition below.
Presumption of profit. Your farming or other
activity is presumed carried on for profit if it produced
a profit in at least 3 of the last 5 tax
years, including the current year. Activities that
consist primarily of breeding, training, showing,
or racing horses are presumed carried on for
profit if they produced a profit in at least 2 of the
last 7 tax years, including the current year.
IRS publication 225 is specifically written for farmers and will provide more guidance. Farmer's Tax Guide
