UVM Extension Business Specialists Mark Cannella, Tony Kitsos, Chris Lindgren, Betsy Miller and Zac Smith are available to work one-on-one with farm, forest and maple businesses on their finances. Reserve a 1½ hour appointment to prepare documents that will help manage the business. Use the time to develop a balance sheet, update financial statements, review a business plan, consider changes to the business and more. Bring your financial statements, recent records and questions!
➥ 1½ hour, private meetings ➥ Nearly 100 appointments available from February – April 2020 ➥ Held at UVM Extension Offices in 9 locations ➥ FREE!
Contact Christi Sherlock at Christi.Sherlock@uvm.edu or 802.476.2003 to register for one of the appointments listed below.
To ensure adequate preparation, reservations must be made by the Thursday of the week before your appointment. If you require a disability-related accommodation to participate, please call at least three weeks in advance of your scheduled session.
I work with many types of farms and farmers in business planning. I don’t keep track of the percentage, but I would say a majority of the folks I work with hire a professional to prepare their tax returns. However, I am a firm believer that a basic understanding of the rules is helpful even to those who hire a professional.
When I sat down to write this I planned to share a few links of resources that would be helpful to farmers who either prepare their own returns or just want a better understanding. What I found was a little disturbing. Many of the sites that I used to find helpful are now out of date. We all expect things to change from one year to the next, but there were some big changes in 2018 and many of the farm tax resources out there do not reflect or even mention those changes.
I urge any of you who use the internet to find tax resources to check the dates on what you are reading. Make sure you are getting current information.
A new calculation for the Land Use Change Tax (LUCT) (beginning Oct. 2, 2015)
A temporary “easy-out” period in which landowners can remove a parcel, or portion of a parcel, without paying the full LUCT liability (between July 1 and Oct. 1, 2015).
A new annual requirement for owners of agricultural lands and buildings to certify in writing on or before September 1 of every year that all enrolled agricultural land and buildings meet the requirements for enrollment at the time of the certification (form will be available in August).
Authority given to Agency of Agriculture, Food and Markets to direct the Vermont Department of Taxes to remove agricultural land and farm buildings from the Current Use Program when the land or buildings are used by a person who has violated water quality requirements (beginning July 1, 2015).
We are also seeing more scrutiny being placed on the distinction between “agricultural” employees compared to “retail” or “non-ag” employees. Owners of businesses that diversify, take on retail operations or manage non-traditional farm activities will want to get familiar with the legal thresholds on employee classification. Read more in the IRS Publication 51: Agricultural Employers Tax Guide. Look at sections relating to Form 943 starting on page 18.
Important Income Tax Changes for H-2A Status Workers
Montpelier, Vt., July 30, 2013 – The Vermont legislature recently passed a law that clarifies the tax status of individuals enrolled in the H-2A visa program. Many Vermont farms employ foreign national workers who come to the U.S. for temporary or seasonal work through the H-2A program.
Beginning with tax year 2012, H-2A status workers must file individual income tax returns in the state of Vermont, as well as at the federal level. For individuals who have not submitted an individual income tax return for 2012, they should do so as soon as possible.
For tax years prior to 2012, any liability, interest or penalty paid by an H-2A status worker will be refunded upon request. In order to be eligible, an individual must provide proof of H-2A status by submitting Form I-94 where their class of admission is H-2A. This is marked on their visa. H-2A workers seeking refunds should contact the department.
Employers who already have a withholding account may use that for H-2A status workers. If an employer wants to open a withholding account, they may do so by completing Form S-1, Application for Business Tax Account.
The Vermont Department of Taxes is assisting H-2A status workers and their employers with this change. For further information, please contact the department at (802) 828-2865 or (866) 828-2865 (toll free in Vermont).