there is really no point in forming an LLC since I cannot use the Section 179 deduction
If you can't use the Sec 179 deduction as an individual you can't use it if you form an LLC either.
if at a later time the asset is sold for the same price as I purchased it for, will I owe back the depreciated amounts I took over the years?
How do you figure? You're buying farm equipment and leasing it to someone else, right? It's a bit unrealistic to think you're going to be able to sell the asset for the same price you paid for it "years later". You've taken depreciation deductions but because that's a cost recovery system. "Years later" you should only be able to get a fraction of what you paid for the asset when you sell it.
