Who qualifies as a start-up farmer?
For farmer tax exemption permit purposes, a start-up farmer is a person who: • Was not engaged in agricultural production as a trade or business in the preceding taxable year, or • Did not have gross income of $2,500 or more from agricultural production, as reported for federal income tax purposes, in the preceding taxable year, or on average, in the two preceding taxable years. 3. What special requirements does the “start-up” farmer have to qualify for a Farmer Tax Exemption Permit? To qualify for a Farmer Tax Exemption Permit, the start-up farmer must satisfy the following requirements: • The farmer intends to carry on agricultural production as a trade or business for at least two years after the permit is issued; and • The farmers gross income from agricultural production, as reported for federal income tax purposes, will be at least $2,500 in the second year or an average of at least $2,500 per year for two years after the permit is issued; and • The farmers gross expenses from ag
