"Which Turbo Tax Product do I use for a Farm?"
If you need to prepare Schedule F (Profit or Loss from Farming), then you will need to use TurboTax Self-Employed if you plan to prepare your return using an Online version of TurboTax.
Note that you can use any desktop (CD/Download) version of TurboTax since each version contains all of the forms.
But if you want to save some money you can use ANY of the downloaded versions instead ... start with Deluxe (Basic if you don't need a state return) and only upgrade if you feel the need for extra help.
I already needed self employed for a schedule C I do every year, and we have capital gains to report this year as well.
It stinks I have to file a schedule C this year as I had no income from it but another turbotax helper said I still have to file becuase I "keep and inventory"
Does any of the Turbo Tax Products have guide prompts for specific issues relating to farming? For instance how to deduct fencing expense? When is it a depreciable capital investment rather than an operating expense? When can I choose to expense a purchase rather than list it as depreciable property? If I have tp depreciate it what are the rules that apply?
Yes, below please find Turbotax Guide on Farming. f you earn a living as a self-employed farmer, you may need to include a Schedule F attachment with your tax return to report your profit or loss for the year. The Internal Revenue Service defines “farmer” in a very broad sense—whether you grow crops, raise livestock, breed fish or operate a ranch.
You can deduct the costs you incur that are an ordinary and necessary expense of farming on Schedule F to reduce the profit—or increase the loss—on which you'll owe taxes. Some of the expenses that farmers commonly deduct cover the cost of livestock and feed, seeds, fertilizer, wages paid to employees, interest paid during the year on farm-related loans, depreciation to recover a portion of equipment costs, utilities, and insurance premiums.
For tax purposes, there are six general categories of non-real estate assets. Each has a designated number of years over which assets in that category can be depreciated. Here are the most common ones:
- Three-year property (including tractors, certain manufacturing tools, and some livestock)
- Five-year property (including computers, office equipment, cars, light trucks, and assets used in construction)
- Seven-year property (including office furniture, appliances, and property that hasn't been placed in another category)
See the link below:
For Guidance on Depreciation see the link below:
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