? about Business/Farm Supplement

Hoopsmama
Sun, 24 Feb 2008 13:14:20 +0000

I am unsure about whether I need to fill out the Business/Farm Supplement. My father lives and works on a farm. When my mother died, my siblings and I inherited her share of the farm and it is set up as a partnership. My share in the partnership is around 10% and my siblings and I are limited partners (my dad is the general partner). It is a “family farm” rather than an “investment farm” in the sense that it is my dad’s home and he works it. Do I need to fill out the business/farm supplement? Also, does an explanation of the situation matter? I am concerned that the land value is fairly high, as it has appreciated over the decades. However, I have no real control over it and, as it is my father’s home, it can’t really be sold anyway. And, due to the drought in the southeast, it’s operated at a loss the last few years- so any value as collateral needs to go to borrowing for operating expenses. Thanks!