Definition of Farm income:
Farm income refers to profits and losses that are incurred through the operation of a farm or agricultural business.
A farm income statement (sometimes called a farm profit and loss statement) is a summary of income and expenses that occurred during a specified accounting period. This period is usually the calendar year for farmers (January 1 - December 31). Some farms are eligible for special farm tax credits and other tax breaks.
A measure of economic viability for the operation of a farm. It can be calculated using a profit and loss balance sheet. The USDA keeps historical data and estimates for aggregate figures on farm income. The agency reports this data along with forecasting 3 times a year. The figures can be broken down into sectors to evaluate the health of agricultural markets.
How to use Farm income in a sentence?
- Farmers are required to fill out a Schedule F on their tax returns to report farm income.
- Farm income is treated a bit differently than non-farm income for tax purposes.
- Farm income refers to the money generated by farm or agribusiness operations.
Meaning of Farm income & Farm income Definition