• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Farm Equipment Advice

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.




I have a 325 acre farm with approx. 40 acres open, the rest timber. I need to buy a small utility tractor to work on this property (bush hogging, some tillable). I have been told that I can write a tractor off on taxes if I buy one. I was told that I could write off so much per year. Can anyone tell me if this is true or not? Thanks


Senior Member
If you have a working farm (you intend to make a profit from the crops/livestock you raise), you report farm income and expenses on Schedule F. These expenses include equipment used to produce the crops/stock. You depreciate equipment over some number of years (depends on the type of equipment). I can't recall the depreciation life for tractors, but I think it's 7 years. By depreciating the tractor, you get to take some of the purchase price each year, instead of taking it all in one year. You can also take all the expense in the year you buy the tractor, if that helps your taxes.

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential