Several states in the US offer some sort of tax exemption for farmers which may also include small family farms. If you sell just a couple of pigs, eggs, milk, flowers or any raw goods from the farm, you may qualify. However, you may need to gross a certain amount in your state.
Here are some of the exemptions for Arkansas:
- Sales Tax – feed for cattle and poultry, seeds, farm machinery
- Property Tax
- Income Tax
- Farm Utilities
Here are some forms and links to help you learn more:
- Tax Exemptions Overview for Agricultural Producers in the United Sates
- Checklist for Obtaining Tax Exempt Status in Arkansas
- Farm Utility Exception Notice
- Sales tax for machinery form
To learn how a small family farm saves money through tax exemptions, please click on the video below.