Taxes, Cuba, and Markets
Spending some time finishing my books and doing some planning for taxes. I am on a cash accounting system for reporting, so some inputs can be prepaid for the 2015 crops and deducted on this year expenses. Congress just approved an extension to some machinery deductions that allows for one year deductions that would have had to be spread out over many years. Many farmers take advantage of this because when they have a good year they then replace old equipment and need to wait until another good year comes along for the next upgrade. So I am not the only farmer doing the planning before the year ends and working with their accountant for advice.
In the news! Open trade with Cuba? We have had an embargo with Cuba for 50 years so our farm commodities have not been able to be shipped for Cuban' exports. Seems like this is a great opportunity to expand our markets. Cuba is an importer of farm products to feed their nation. I agree that its time to lift the embargo because we are the only nation not trading openly with Cuba. Embargo's only work if all suppliers take part. I pray that conditions for their population improve and maybe with open trade we can develop open communications also.
Grain markets have turned higher as the harvest has been completed and grain is in storage. Demand is building and prices rose to prompt farmer selling out of those bins. All eyes are on projections of harvest in South America and plantings in the United States for further direction this winter and spring.
Seems like random thoughts but that is what year end planning is. Tying everything together, and thinking about what 2015 brings.
Merry Christmas, Dean
No comments:
Post a Comment