September 12, 2008
Dear Fellow Nebraskans:
I am inviting Nebraskans getting started in farming or ranching to take advantage of the state’s expanded Beginning Farmer program, which includes a new agricultural personal property tax exemption.
I visited Nebraska’s largest ag products show, Husker Harvest Days, this week to promote the expanding opportunities available to help farmers and ranchers just getting started in agriculture. The updates to our Beginning Farmer program also create opportunities for experienced farmers and ranchers looking to help the next generation of producers.
We are excited about the opportunities these programs offer for our agricultural community. Nebraska is rooted in agriculture and this industry plays a significant role in our state’s continued growth. Encouraging the establishment of the next generation of farmers and ranchers will help Nebraska maintain its position as a leading agricultural state and help grow our state’s economy.
Updates to the Beginning Farmer Tax Credit Act and the creation of the personal property tax exemption were part of LB 1027 that I signed into law this spring. The Nebraska Department of Agriculture administers the Beginning Farmer program and they will coordinate with the Nebraska Department of Revenue on the new property tax exemption.
LB 1027 removes several eligibility restrictions within the Beginning Farmer Tax Credit program. These changes will significantly broaden the pool of individuals that are eligible to help a beginning farmer or rancher.
The new agricultural property tax exemption allows qualified beginning farmers to claim an exemption on up to $100,000 of personal property used in production agriculture. The exemption can be claimed for three years.
Participation in either program begins at Nebraska Department of Agriculture with an application to either qualify as a beginning farmer or rancher, or to qualify as an agricultural asset owner to receive the tax credit. To claim an agricultural personal property tax exemption for the 2009 tax year, individuals must contact Nebraska Department of Agriculture before Nov. 1, 2008. Signup for the Beginning Farmer Tax Credit Program is continuous.
To apply for the Beginning Farmer program or find more information, contact the Nebraska Department of Agriculture by calling (800) 753-9396 or by going to http://www.agr.ne.gov.
