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Due to its broad, inclusive nature, the current USDA defi nition of a farm encompasses almost all organizations that produce agricultural goods, from small farms with very little or no production, to commercial farm businesses with sales in the millions of dollars. Such variation means that simple statis-
The census definition of a farm is any place from which $1,000 or more of agricultural products were produced and sold, or normally would have been sold, during the census year. The definition has changed nine times since it was established in 1850.
The following discussion looks at the definition of a farmer from an income tax perspective, including the definitions of farm, farming and farmers as found in the Internal Revenue Code (IRC) and Treasury Regulations.
USDA defines “farm” broadly as any op-eration with the potential to produce at least $1,000 worth of agricultural goods in a given year. Based on 2006 prices, an operation could be considered a farm for growing 4 acres of corn, or a tenth of an acre of berries, or for owning one milk cow.
maintains a list of farmers and ranchers from which the CML is compiled. The goal is to build as complete a list as possible of agricultural places that meet the farm definition. The CML compilation begins with the list used to define sampling populations for NASS surveys conducted for the agricultural estimates program.
farms. Family farms, where the majority of the business is owned by an operator and individuals related to the operator, represented 98 percent of all U.S. farms in 2017. What Is a Beginning Farm? There are different ways to define a beginning farm or ranch. This study uses the USDA, Economic Research Service definition of
The official govermental definition of farm has changed 9 times between 1850 and 1974—with the 1974 definition, our current definition, lasting longer than any previous definition. Here is the current definition, according to the 1992 Census of Agriculture: The current definition, first used for the 1974 census, is any place from which $1,000 or