Central Fl Cracker
Well-known member
We have a 4 month old calf that was killed by a coyote. My question is how much will the IRS let me right off at the end of year. Also what proof will they need if any?
Killed calf
- Thread starter Central Fl Cracker
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jerry27150
Well-known member
unless you bought it, nothing. if you bought it, the whole price. should have sales slip
M5farm
Well-known member
I have friend that has his taxes done at hrblock and the lady that does his always ask how many animals lost and their value and she inputs it. She told him to take a picture and with time stamp for records. Like I said it was my freind. I have no further knowledge. Also he purchases piece of mind so if he is audited hrblock assumes responsabilty and all he has to have is the records. Did I mention it was my friend.
Coco Donatella
Well-known member
You can't write off unrealized potential income. Think about it and I think you'll see what I'm talking about.
Central Fl Cracker":i5t8jk1w said:
You can write off all the expense you have in the calf:
Feed purchased, but that's already in your expenses.
Vaccines, vet expenses; but those are already in your expenses.
Purchase price; yes. Raised calf?, expenses already figured in your other expenses.
Do you get my drift? You don't write off the value of the calf, you use the expenses you have in him to offset your income just like any other cattle expense.
We got a payment for a calf we lost to coyotes a few years ago. We went through the sheriff & animal control. We had to report the payment as income.
The thing to does talk to a tax accountant who specializes in ag taxes in your state. You'll get many varied opinions on an Internet site and you can only guess if the IRS will accept others guesses. It's usually a no cost phone call to an accountant.
Coco Donatella
Well-known member
You're the only one guessing here Allan. And when did a call to a tax accountant start being free?
M5farm
Well-known member
Tax Deductions for Livestock
If your small farm includes livestock, such as horses, cattle or goats, you can deduct the farm costs associated with these animals. Tax deductible fees include veterinarian fees, hay and grain, immunizations and registration fees. If you have livestock that dies during the tax year you can also claim a loss on the animal that died. If your farm purchases livestock for re-sale; the price you paid for the livestock is deducted from the price you sold the livestock at. Livestock that is kept for breeding purposes can also be depreciated in the same way that farm equipment is depreciated.
If your small farm includes livestock, such as horses, cattle or goats, you can deduct the farm costs associated with these animals. Tax deductible fees include veterinarian fees, hay and grain, immunizations and registration fees. If you have livestock that dies during the tax year you can also claim a loss on the animal that died. If your farm purchases livestock for re-sale; the price you paid for the livestock is deducted from the price you sold the livestock at. Livestock that is kept for breeding purposes can also be depreciated in the same way that farm equipment is depreciated.
Coco Donatella":21m4xyrj said:
My advice is not a guess, there is no guessing about suggesting calling a tax accountant for advice. You don't think an accountant would answer one simple question for free over the phone? If one doesn't call another if that one did they would have my business and most accountants know that.
Or you can ask folks on a cattle message board. But I doubt an IRS auditor would accept "Well this person named coco told me I could, it's the way to do it". "Oh, we'll coco is user name of someone on the Cattle Today message board..... You know the Internet". Although I'm pretty sure the auditor would be grinning and chuckling as their make notes.
B&M Farms
Well-known member
Publication 225 (2011), Farmer's Tax Guide
For use in preparing 2012 Returns
•4. Farm Business Expenses
Other Nondeductible Items
You cannot deduct the following items on your tax return
Loss of livestock. You cannot deduct as a loss the value of raised livestock that die if you deducted the cost of raising them as an expense.
•11. Casualties, Thefts, and Condemnations
Farming Losses
You can deduct certain casualty or theft losses that occur in the business of farming. The following is a discussion of some losses you can deduct and some you cannot deduct.
Livestock or produce bought for resale. Casualty or theft losses of livestock or produce bought for resale are deductible if you report your income on the cash method. If you report your income on an accrual method, take casualty and theft losses on property bought for resale by omitting the item from the closing inventory for the year of the loss. You cannot take a separate deduction.
Livestock, plants, produce, and crops raised for sale. Losses of livestock, plants, produce, and crops raised for sale are generally not deductible if you report your income on the cash method. You have already deducted the cost of raising these items as farm expenses, so their basis is equal to zero.
Income loss. A loss of future income is not deductible
For use in preparing 2012 Returns
•4. Farm Business Expenses
Other Nondeductible Items
You cannot deduct the following items on your tax return
Loss of livestock. You cannot deduct as a loss the value of raised livestock that die if you deducted the cost of raising them as an expense.
•11. Casualties, Thefts, and Condemnations
Farming Losses
You can deduct certain casualty or theft losses that occur in the business of farming. The following is a discussion of some losses you can deduct and some you cannot deduct.
Livestock or produce bought for resale. Casualty or theft losses of livestock or produce bought for resale are deductible if you report your income on the cash method. If you report your income on an accrual method, take casualty and theft losses on property bought for resale by omitting the item from the closing inventory for the year of the loss. You cannot take a separate deduction.
Livestock, plants, produce, and crops raised for sale. Losses of livestock, plants, produce, and crops raised for sale are generally not deductible if you report your income on the cash method. You have already deducted the cost of raising these items as farm expenses, so their basis is equal to zero.
Income loss. A loss of future income is not deductible
M5farm
Well-known member
B&M Farms":3rqywrar said:
there are other rules if this animal is used for breeding. A good tax man is required when doing farm taxes, I would not attempt to do it on my own. Find out who the other farmers use and use a tax firm that has a extra insurance you can purchase to assist in a audit. do not report anything you can't back up. it cost me about 400 bucks to have my taxes done. and I always report conservatively.
Jogeephus
Well-known member
You'll get to write off the loss indirectly since you will have to pay for the upkeep of a barren cow for a year unless you sell the cow. Your loss will be reflected in your higher per calf carrying cost. Any other way would mean I could right off the loss on the 5 calves I lost to lightning this year. Pretty sure they were worth around $30,000 apiece had someone paid me that for them. I even have a guy willing to sign a paper he would have paid me that for them but only for those five cause they were my best. Unfortunately that won't fly for some reason.
Jogeephus
Well-known member
Yeah, they got it all figured out. Might be why its called "Income" tax.
ALACOWMAN
Well-known member
not that it matters, i aint ever seen a coyote kill a calf, that ""old""- size... now they will take advantage of a free mealCentral Fl Cracker":1qtqn2aw said:
Central Fl Cracker
Well-known member
Thanks for all the responses.
I find it hard to believe i can't write off the weaning sell price of $550. The only cost I would have: calf on momma's milk, grass and shots.
I find it hard to believe i can't write off the weaning sell price of $550. The only cost I would have: calf on momma's milk, grass and shots.
ALACOWMAN":3oru783e said:
As I said a few times, coyotes really aren't too much of a problem other then knowing there's after birth to get. I noticed the 4 month old calf thing also, but you had to open the can of worms :lol: :lol: :lol: Let's see what happens.
" I noticed the 4 month old calf thing also "
Where did you hear that?
I read it on the internet, and they can't say things on the internet that arn't true.
Where did you hear that?
ON THE INTERNET!
Here comes my boyfriend, I met him on the internet, He's French
Where did you hear that?
I read it on the internet, and they can't say things on the internet that arn't true.
Where did you hear that?
ON THE INTERNET!
Here comes my boyfriend, I met him on the internet, He's French
Central Fl Cracker
Well-known member
He is at my Sister in laws and I think it was 4 months but it could have been 2. The point is when it got to the sale weight it should have brought $ 550 or so money. So why cant she write off the $ 550 minus minerals and shots.The grass and Momma's milk is free.
