Farmers who sell their goods to cooperatives now have a better idea of how to compute a deduction of their business income.
- The IRS on Thursday released the final rules, (TD 9947; RIN 1545-B090) and a revenue procedure Rev. Proc. 2021-11) for calculating the cooperative’s wages. The deduction is limited by wages paid to employees.
- The rules address how the tax law’s 20% write-off for pass-through businesses should be applied to co-ops, under tax code Section 199A. Pass-through businesses are taxed at the individual owner level.
- Citrus giant Sunkist had urged Treasury to ease a...