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2000

Agricultural Law Digest

Articles 1 - 30 of 48

Full-Text Articles in Law

Cases, Regulations And Statutes, Robert P. Achenbach Jr. Dec 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Deducting Environmental Cleanup Costs, Neil Harl Dec 2000

Deducting Environmental Cleanup Costs, Neil Harl

Agricultural Law Digest

For nearly a decade, there’s been a great deal of uncertainty over how to handle environmental cleanup costs. Two developments this year have cast new light on the problem, one confirming the direction we have been taking on the issue and the other raising some question about the reliance on a 1992 U.S. Supreme Court case in requiring the capitalization of some environmental cleanup costs.


Income Averaging And Losses: An Irs Change Of Position, Neil Harl Nov 2000

Income Averaging And Losses: An Irs Change Of Position, Neil Harl

Agricultural Law Digest

From the time of enactment in 1997 of income averaging for those involved in a farming business, effective in 1998, the question has been raised about how to handle losses in the three carryback or “base” years. Although the Internal Revenue Service has resisted efforts to allow negative taxable income to figure in to the calculations, recent publications appear to allow the use of negative figures.


Cases, Regulations And Statutes Nov 2000

Cases, Regulations And Statutes

Agricultural Law Digest

No abstract provided.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Nov 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


The Starlink(Tm) Saga, Neil Harl Nov 2000

The Starlink(Tm) Saga, Neil Harl

Agricultural Law Digest

Few events have gripped the agricultural sector—indeed the entire food chain—as the StarLinkÔ controversy has in recent weeks. Starting in mid-September with the recall of taco shells which were found to contain traces of StarLinkÔ, several processors have commenced testing and have rejected loads of corn containing the Cry9C protein in StarLinkÔ.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Oct 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Rights Of Farmers In Failed Grain Elevators, Neil Harl Oct 2000

Rights Of Farmers In Failed Grain Elevators, Neil Harl

Agricultural Law Digest

During the farm debt crisis of the 1980s, grain elevator failures became a common occurrence in many rural communities. In recent years, elevator failures have occurred as a result of abuses with respect to hedge-to-arrive contracts and improper or unauthorized activity in futures markets. Presently, the severe decline in the farm economy has placed additional stress on elevators. With the recent news of the failure of the largest agricultural cooperative in the state of Kansas the issue of grain elevator failures has received renewed attention along with its impact on grain depositors and on the agricultural community.


Confusion Over Material Participation, Neil Harl Oct 2000

Confusion Over Material Participation, Neil Harl

Agricultural Law Digest

The confusion over the pre-death and post-death material participation requirements for special use valuation and the family-owned business deduction has been heightened by incorrect statements in the committee reports and the instructions to Schedule T of Form 706. Unfortunately, our own article in the September 15, 2000, issue of the Digest did not contribute much to clearing up the confusion. The importance of the issue justifies another try at clarification.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Oct 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


How Not To Make Gifts, Neil Harl Sep 2000

How Not To Make Gifts, Neil Harl

Agricultural Law Digest

Although the promise of a new income tax basis at death (and other factors) tend to discourage gift making during life, those with larger estates are sometimes motivated to make inter vivos gifts anyway. A 2000 Seventh Circuit Court of Appeals case 3 has painted a clear picture as to how it should not be done.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Sep 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Sorting Out "Material Participation": The Trap In Fobd, Neil Harl Sep 2000

Sorting Out "Material Participation": The Trap In Fobd, Neil Harl

Agricultural Law Digest

The term “material participation” has become a standard component of tests to determine whether a “business” exists. Generally, for an arrangement to be a business, the owner (or someone on behalf of the owner) must be (1) bearing the risks of production, (2) bearing the risks of price change and (3) involved significantly in management. Material participation is used as a standard for determining whether there is sufficient involvement in management to meet that part of the test.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Sep 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Sep 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Handling Legal Fees In Settlements, Neil Harl Sep 2000

Handling Legal Fees In Settlements, Neil Harl

Agricultural Law Digest

A series of cases by the Tax Court and Courts of Appeal have focused attention on a highly important question: is a successful plaintiff required to report the entire judgment or settlement recovery (including the attorney’s fee) into income? Or, can the attorney’s fee be deducted from the recovery amount?


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Aug 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Revisions To Article 9 Of The Ucc: The Death Of 9-312(2), Neil Harl Aug 2000

Revisions To Article 9 Of The Ucc: The Death Of 9-312(2), Neil Harl

Agricultural Law Digest

In 1998, Article 9 of the Uniform Commercial Code on lending with moveables as collateral underwent revision. A final draft of Article 9 was approved by the American Law Institute in May of 1998 and by the National Conference of Commissioners on Uniform State Laws in July of 1998. About 20 states have adopted the revisions, some with changes from the ALI/NCCUSL version submitted to the states. The submitted version contains several provisions that will impact, significantly, agricultural financing arrangements.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Aug 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Income Tax Consequences On Partition And Sale Of Land, Neil Harl Aug 2000

Income Tax Consequences On Partition And Sale Of Land, Neil Harl

Agricultural Law Digest

Partition and sale of land, while not exactly a common occurrence, is always available if the co-owners cannot agree on buying out one or more of the co-owners or selling the property and splitting the proceeds. A question of some importance: what are the income tax consequences, particularly for a co-owner who buys the property in the partition and sale proceeding?


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Jul 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


New Rules In Handling Trades, Neil Harl Jul 2000

New Rules In Handling Trades, Neil Harl

Agricultural Law Digest

In a Notice which has received relatively little attention, the Internal Revenue Service on January 4, 2000, issued new guidance on handling depreciation following a like-kind exchange or involuntary conversion. Thus, the new rules apply to machinery and equipment trades, like-kind exchanges of farmland and other property and reinvestment following a fire or other involuntary conversion.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Jul 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Are Property Interests Held By Land Contract Purchasers "Like-Kind" To A Fee?, Neil Harl Jul 2000

Are Property Interests Held By Land Contract Purchasers "Like-Kind" To A Fee?, Neil Harl

Agricultural Law Digest

Without much doubt, like-kind exchanges have become a popular way to dispose of interests in land and other assets. With substantial use of installment sale transactions in the disposition of farmland, some like-kind exchanges involve the rights of purchasers under installment land contracts. The question is whether a land contract purchaser’s interest in land is “like-kind” with a fee simple interest in land.


Sale Of Residence In Trust: Is The Exclusion Available?, Neil Harl Jun 2000

Sale Of Residence In Trust: Is The Exclusion Available?, Neil Harl

Agricultural Law Digest

With more use of trusts, particularly revocable inter vivos trusts, the question is being raised with increasing frequency as to whether sale of the residence by the trust is eligible for the $250,000 exclusion from income ($500,000 for married taxpayers) on a joint return. The stakes are high and may influence whether a residence is placed in trust.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. Jun 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. May 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Expenses In Bankruptcy, Neil Harl May 2000

Expenses In Bankruptcy, Neil Harl

Agricultural Law Digest

A major issue with farm bankruptcies, as with other bankruptcies, is how to handle the costs of bankruptcy. The fact that a farm or small business bankruptcy nearly always has non-business aspects as well as a business dimension adds to the complexity of the determination as to what is deductible.


Cases, Regulations And Statutes, Robert P. Achenbach Jr. May 2000

Cases, Regulations And Statutes, Robert P. Achenbach Jr.

Agricultural Law Digest

No abstract provided.


Threat To Commodity Loans And Ldps, Neil Harl May 2000

Threat To Commodity Loans And Ldps, Neil Harl

Agricultural Law Digest

A little-noticed statute, passed at the peak of optimism in 1996 and included in the bulky Omnibus Consolidated Rescissions and Appropriations Act of 1996, now threatens federal farm program benefits including commodity loans and loan deficiency payments. If a non-tax debt to the federal government is delinquent, the individual or firm is ineligible for federal assistance including direct loans, loan insurance, loan guarantees, commodity loans and loan deficiency payments.