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Form 4835 - Farm Rental Income and Expenses

Article ID: 34884  

Question
Form 4835 - Farm Rental Income and Expenses

Answer

Purpose of Form

If you were the landowner (or sub-lessor) and did not materially participate (for self-employment tax purposes) in the operation or management of the farm, use Form 4835 to report farm rental income based on crops or livestock produced by the tenant. See chapter 12 in Pub. 225, Farmer’s Tax Guide, for the definition of material participation for landlords.

Use this form only if the activity was a rental activity for purposes of the passive activity loss limitations. See the Instructions for Form 8582, Passive Activity Loss Limitations, for the definition of “rental activity.”

If you have net income on line 32, your tax may be less if you figure it using Schedule J (Form 1040).

Form 4835 Instructions


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Views: 559 Created on: Jun 15, 2013