WITAXLADY Posted February 24, 2023 Report Share Posted February 24, 2023 Farm has a capital investment of $12,000 into the coop/cheese plant- Is this a non deductible item to keep track of or depreciate, amortize? or a deduction? Thank you I did do reading and it talks about patronage - I know that. Thank you, Darlene Quote Link to comment Share on other sites More sharing options...
Lee B Posted February 24, 2023 Report Share Posted February 24, 2023 I would think it would be basis only deductible if the coop liquidated and ceased to exist. 2 Quote Link to comment Share on other sites More sharing options...
DANRVAN Posted February 24, 2023 Report Share Posted February 24, 2023 Most likely he has purchased capital stock in a section 521 coop. Would be treated as an investment in any case. Quote Link to comment Share on other sites More sharing options...
TAXMAN Posted February 24, 2023 Report Share Posted February 24, 2023 That is the way I handle them here. It is an investment. Quote Link to comment Share on other sites More sharing options...
WITAXLADY Posted February 26, 2023 Author Report Share Posted February 26, 2023 Thank you - that is what I did.. thanks for verifying it - there are some doozy of laws out there!! D Quote Link to comment Share on other sites More sharing options...
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