First of all, we are definitely a business although we are supported by retirement income from my past job. Farming is not our "living", but we have made some significant money while doing it. We have filed schedule F's for over 10 years and have passed the "2 years profit in 5 years" test. Now we are at the point of considering retiring from farming too...my wife will be 65 in the spring and I'm not far behind her. We're just not sure if we will quit now or change our minds in a year from now. So my question would be: 1) If we take a year off, have no farm income, file no schedule F in 2022, can we pick up the depreciation again in 2023 if we continue to farm? 2) A second more likely scenario would be that we don't farm, but we still receive a very nominal amount of income from USDA and mowing jobs, but because of the depreciation we have, we never make a profit. (transition to a hobby at that point?) I hope this paints a clearer picture for you.
