Other Expenses
The following list, while not all-inclusive, shows some expenses you can deduct as other farm expenses on Schedule F, Part II. These expenses must be for business purposes and
(1) paid, if you use the cash method of accounting, or (2) incurred, if you use an accrual method of accounting.
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Accounting fees.
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Advertising.
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Business travel and meals.
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Commissions.
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Consultant fees.
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Crop scouting expenses.
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Dues to cooperatives.
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Educational expenses (to maintain and improve farming skills).
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Farm-related attorney fees.
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Farm magazines.
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Ginning.
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Insect sprays and dusts.
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Litter and bedding.
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Livestock fees.
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Marketing fees.
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Milk assessment.
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Recordkeeping expenses.
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Service charges.
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Small tools expected to last one year or less.
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Stamps and stationery.
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Subscriptions to professional, technical, and trade journals that deal with farming.
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Tying material and containers.
Loan expenses. You prorate and deduct loan expenses, such as legal fees and commissions, you pay to get a farm loan over the term of the loan.
Tax preparation fees. You can deduct as a farm business expense on Schedule F the cost of preparing that part of your tax return relating to your farm business. You may be able to deduct the remaining cost on Schedule A (Form 1040) if you itemize your deductions.
You also can deduct on Schedule F the amount you pay or incur in resolving tax issues relating to your farm business.