Tax Planning for Producers Receiving Loan Servicing Assistance
Some farmers might have received a loan servicing assistance payment if they were experiencing certain types of financial distress. These loan servicing assistance payments resulted from the Inflation Reduction Act (Public Law 117-169), signed into law on August 16, 2022. This fact sheet will address the impacts of loan servicing assistance payments and address strategies to help mitigate the tax consequences of a loan servicing assistance payment.
Topics: Farm Tax Issues & Tax Planning, Loan Servicing Assistance