Gifts of Grain FAQ

Can a crop sharing arrangement benefit from this technique?

No, shares of crop are considered rental income and must be reported as such.

Can I store the grain on my farm, not deliver it to an elevator, and still make a gift to the Community Foundation?
Yes, you should prepare a notarized letter of grain transfer to the Community Foundation in place of the elevator's warehouse receipt.

Can farm C-corporations benefit in the same way as the farmer who is a sole proprietor?

The benefits described by the Community Foundation apply to calendar year-cash basis sole proprietorships.  C-corporations are not treated the same way from a tax perspective.  Ask your tax professional to see if your farm operation can benefit from a charitable gift.

Will the gifted grain count as income in government payments limitation caps?

No, the gift of grain won't count as income in your government payments limitation caps calculation.