When Processing Stops Being Farming

Value-added work, and where farm income ends
Course #: FN-026
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Field Note Description

Thinking about turning your crop into something more — jam, cheese, flour, bottled or packaged goods? Adding value can pay off, but some of that work is still “farming” for tax purposes and some of it quietly becomes a separate business. This Field Note explains where that line sits, why it changes how your income is taxed, and what to ask your preparer before you build.