Purdue Extension

Legal Aspects of Indiana Farmland Leases and Federal Tax Considerations

Legal Aspects of Indiana Farmland Leases and Federal Tax Considerations Product code: EC-713-W

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EC-713-W
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Description

While an oral lease is still enforceable in Indiana, landowners and tenants are urged to have a detailed, written lease. Landlords and tenants are advised to know the Indiana laws that govern farmland lease arrangements. Knowledge of security agreements as well as the federal tax law is also important to farm landlords. The type of lease and involvement of a landlord in the farm production has significant implications for federal income tax, self-employment tax and estate tax liability, and Social Security entitlement.

Produced

8/13/2004

Author

Gerald A. Harrison

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