Newly created Agricultural Credit Associations (ACAs) may prove to be an efficient way for growers to borrow money, according to a June 1997 issue of "California Farmer." With some Production Credit Associations (PCAs) and Federal Land Credit Associations (FLCAs) merging into ACAs, growers can complete all their lending business under one roof. Since each farm credit association is a farmer-owned cooperative, borrowers also have a direct link to organization policies.
The $600,000 exemption from estate taxes will rise to $1.3 million for family-owned small businesses and farms, effective Jan. 1., 1998, according to data published in the August 1 issue of "The Kiplinger Agriculture Letter." In addition, producers will be able to average farm income starting in 1998 and ending after 2000. When income rises, farmers can lessen their tax burden by averaging that year's farm income with two earlier years of lower income. Also of note: the tax deduction for self-employed health insurance will increase from 40 percent now to 100 percent in 2007.
Eight agricultural chemical manufacturers have combined forces to promote safety during the handling and application of carbamate and organophosphate pesticides through a joint effort called Safety: Apply it First. This year-long program targets all chemical handlers and will launch in November 1997. The companies involved include American Cyanamid Company, Bayer Corporation, Cheminova Agro, FMC Corporation, Makhteshim-Agan, Novartis Crop Protection, Rhone-Poulenc Ag Company and Valent USA Company.
