I do not farm; neither does my family, but it just so happens that God has given me an incredible passion for farming families. You see, I live in Cove City, NC surrounded by cotton fields, tobacco crops, horse pastures and forestry. The beauty of it all is incredible, the peacefulness of watching what was sown, then grow and produce fruit, is so satisfying! To hear the knickers of the horses from my front porch, or the echo’s of cattle and donkey’s braying back and forth brings a smile to my face. To look out and see the red-tail hawks, the blue jays, cardinals and woodpeckers, to see an occasional deer, or even a bear reminds me that I am certainly not the center of the universe…… It is all of Creation, a blessing, to be able to live off of what we have been given.
I know these men and women who do work the land, I have seen the headlights from their tractors at wee hours in the middle of the night. I have seen as what they work on for months at a time come close to complete ruin in drought and extreme wet conditions and I have seen hurricanes completely decimate entire crops in a matter of hours.
Currently I see worry in the faces of these farmers, ones who have strived their entire lives to leave the farm for their children. As property taxes continue to increase on equipment and talk of the Present Use Value program changes heating up, we now have the inheritance tax issue’s that would destroy the family farm as we know it. All of this as continual regulation increases for products that can and can’t be used, places where farming is and isn't allowed due to zoning regulations and pricing of the commodities continually changing- sometimes not even allowing the farmer to recoup his cost of harvest! How can this way of living, one that each and every human being depends on, be in such turmoil?
Something most people do not realize is a reliance of military bases on agricultural land. Especially here in Eastern NC, we are surrounded by bases and used on flight paths for maneuvers, it is essential that farmland remain. In NC our #1 industry is Agriculture and our #2 is the MILITARY. These industries go hand in hand in support of one another. Yet, statistics tell us NC is the #1 state in LOSS of farmland.
This is happening due to several issues from what I have witnessed first hand
1) The median age of a farmer today is 58 years old. Family sizes are not what they used to be requiring farmers to hire additional help. If there is not a family member willing to take over the farm, it is more then likely sold.
2) The expense of starting a farming business is astronomical. If you were lucky enough to be born into a farming family you have a chance, but if not, the chances of you acquiring enough land, affording the extensive and expensive equipment, and having enough cash flow to begin are slim to none- and all this depending on surviving with good crops the first few years weather permitting!
3) Farming isn’t as attractive as the movies have made it out to be. It is a 365 day a year job, especially if you raise livestock. The hours are constant, and again the costs incredible…..not many people want to dedicate themselves to this way of life!
4) The expansion of residential areas and highways are continually encroaching on the family farm. While it seems good for whatever municipality to grow, the truth is the costs of services also increase tremendously to that particular area and it ends up in the form of taxation to all residents. While there was once a piece of land with crops that required no water/sewer/electrical hook ups, now new lines must be run for all utilities and manpower hired for additional housing management in the form of police officers, sheriff’s deputies, fire fighter’s, health and social workers and so on…..the bigger the population, the more services are needed. Not many realize that.
I do not have answers for these issues other then somehow our farms must be protected at all costs.
One last point that I would like to add…..I have heard out of people’s mouth’s that “farm subsidies and property taxation reductions on land are like farming welfare”. I beg to differ! When a farmer loses his entire crop to a disaster, we are all affected financially in the ability to purchase a necessity. They must have GOOD crop insurance to continue to be able to provide for the rest of our population. Please realize, farmers do not set the pricing for their products, the commodity market DOES. Many farmers today have seen their crops bring in less money then it costs to produce them. Again, without some form of subsidy many crops and farms would fall by the wayside costing us all more and eventually depleting the market. Also a farmer is not one who does not work, on the contrary! It is an extremely demanding and dangerous job that requires skill, knowledge and an incredible work ethic. The farmer knows they are responsible for feeding the masses, providing fibers for materials and forestry for everything from home building to diaper stuffing!
While the farm bill sits unattended to in Washington DC, all of this hangs in the balance! I do not agree with all that is in the bill, the Farm Bill and Food Stamps SHOULD NOT BE IN THE SAME BILL, Food stamps should be under HHS, (Health and Human Services), but that will have to be dealt with at a later date when our nation’s farms are not in such peril. If you care about food, I urge you to contact your US Senator and Representative personally.
God made Adam the first care-taker of the Garden of Eden. He was the first “farmer”. We have a responsibility to be good stewards with the land that has been provided. We should be helping our farmers provide to their full potential, we should be encouraging new farmers to get into the field, and we should be offering incentives that will benefit our entire population in the abundance of food, fiber and forestry. How terrible it would be to depend on other countries to grow OUR food. The import of oil surely hasn't worked out so good for us has it?!
Tyker Gonzales
Cove City, NC
Showing posts with label Inheritance Tax. Show all posts
Showing posts with label Inheritance Tax. Show all posts
Wednesday, November 28, 2012
Letter to the Editor: Old MacDonald lost his farm……
November 25th
Letter to the Editor
Old MacDonald lost his farm……
Along with January, 2013 fast approaching, so are the current tax structure changes and how they are going to affect our local farms. Currently the death/inheritance tax is 35% on property over $5 million; this will increase to 55% on property over $1 million if nothing is done!
According to Josh Rolph of the CFBF Federal Policy Division (California Farm Bureau Federation) "With our high land values in California, it's easy for a farmer to be hurt by the lower exemption thresholds and be forced to sell portions of the farm to pay the estate tax bill," Rolph said. "Keeping the family farm in the family is critical to sustaining agriculture, and reforming the estate tax is critical to sustaining family farms."
But what about North Carolina? Consider this: For those family farms located next to large metropolitan areas such as Charlotte, Raleigh, and Wilmington the property values are MUCH higher than ours, not even taking into account that 1 piece of machinery can cost anywhere from One hundred thousand to upwards of 1 million and several pieces are needed for the entire operations. Then if you look at the acreage these farms must possess to make a profit, one can easily lose their farm altogether!
But how are we in Craven County affected by all this? What impact does this have to us locally? Here are the Agriculture Stats for Congressional Districts 1 and 3 in Craven County. In both Districts, 1 and 3, 19% of all jobs are in agriculture with a 6.0 Billion dollar impact (in each District) and representing 23% of District GDP making both Districts 3rd highest district GDP in the state and the 4th highest in Ag employment.
Craven County as a whole is tied for 5th place in Ag Economic Impact which is NC's #1 industry and 99% of NC farms are family owned!
Farmers do not set their own pricing, the commodity market does. If prices are down, they run risks of not making ends meet and this happens more often than we ever imagined.
All of this is not to mention that taxes were paid when the farms were purchased, taxes were paid when the equipment was purchased, each year property taxes are paid on the equipment and land, out buildings and grain bins, tobacco barns and lean-to's, year after year......then when they die it gets one giant tax again and then to be taxed to the next owner.......this is MORE THEN double taxation....!
Families are already having a hard time of it with the way it stands now! Last years drought followed by hurricane Irene devastated Craven County’s farms. This years continuous rains and now the possibility of a massive inheritance tax……we will be saying good-bye to the smaller family owned farms once and for all and they will be forced to sell the equipment and land to pay the taxes.
Lastly, Only 210,000 Americans are responsible for Eighty Percent of the US Ag Production. By the year 2050 the projected population for the planet is 9 Billion. These 210,000 people are our only lifeline to feeding the generations to come!
They need our help NOW. Please contact our elected representatives and request that they support the Farm Bill by the extension of the Bush tax cuts. The small farmer is a true representative of initiative and self-determination; he helps feed our Nation.
CCTA Member, Lou Call
New Bern, NC
Letter to the Editor
Old MacDonald lost his farm……
Along with January, 2013 fast approaching, so are the current tax structure changes and how they are going to affect our local farms. Currently the death/inheritance tax is 35% on property over $5 million; this will increase to 55% on property over $1 million if nothing is done!
According to Josh Rolph of the CFBF Federal Policy Division (California Farm Bureau Federation) "With our high land values in California, it's easy for a farmer to be hurt by the lower exemption thresholds and be forced to sell portions of the farm to pay the estate tax bill," Rolph said. "Keeping the family farm in the family is critical to sustaining agriculture, and reforming the estate tax is critical to sustaining family farms."
But what about North Carolina? Consider this: For those family farms located next to large metropolitan areas such as Charlotte, Raleigh, and Wilmington the property values are MUCH higher than ours, not even taking into account that 1 piece of machinery can cost anywhere from One hundred thousand to upwards of 1 million and several pieces are needed for the entire operations. Then if you look at the acreage these farms must possess to make a profit, one can easily lose their farm altogether!
But how are we in Craven County affected by all this? What impact does this have to us locally? Here are the Agriculture Stats for Congressional Districts 1 and 3 in Craven County. In both Districts, 1 and 3, 19% of all jobs are in agriculture with a 6.0 Billion dollar impact (in each District) and representing 23% of District GDP making both Districts 3rd highest district GDP in the state and the 4th highest in Ag employment.
Craven County as a whole is tied for 5th place in Ag Economic Impact which is NC's #1 industry and 99% of NC farms are family owned!
Farmers do not set their own pricing, the commodity market does. If prices are down, they run risks of not making ends meet and this happens more often than we ever imagined.
All of this is not to mention that taxes were paid when the farms were purchased, taxes were paid when the equipment was purchased, each year property taxes are paid on the equipment and land, out buildings and grain bins, tobacco barns and lean-to's, year after year......then when they die it gets one giant tax again and then to be taxed to the next owner.......this is MORE THEN double taxation....!
Families are already having a hard time of it with the way it stands now! Last years drought followed by hurricane Irene devastated Craven County’s farms. This years continuous rains and now the possibility of a massive inheritance tax……we will be saying good-bye to the smaller family owned farms once and for all and they will be forced to sell the equipment and land to pay the taxes.
Lastly, Only 210,000 Americans are responsible for Eighty Percent of the US Ag Production. By the year 2050 the projected population for the planet is 9 Billion. These 210,000 people are our only lifeline to feeding the generations to come!
They need our help NOW. Please contact our elected representatives and request that they support the Farm Bill by the extension of the Bush tax cuts. The small farmer is a true representative of initiative and self-determination; he helps feed our Nation.
CCTA Member, Lou Call
New Bern, NC
Friday, November 23, 2012
Waiting in the wings is the Farm Bill.....
Waiting in the wings is the Farm Bill; I know, you don't own a farm so why should you be concerned?
Consider what follows:
If the Farm Bill is not passed this session this is what will happen:
The current death/inheritance tax is 35% on property over $5 million.
If nothing is done, it will increase to 55% on property over $1 million.
For those family farms located next to large metropolitan areas such as Charlotte, Raleigh, and Wilmington the property values are MUCH higher then ours, not even taking into account that 1 piece of machinery can cost anywhere from One hundred thousand to upwards of 1 million and several pieces are needed for the entire operations. Then if you look at the acreage these farms must possess to make a profit, one can easily lose their farm altogether! IF something is not done in this lame duck session, all who have worked so hard, some working 365 days a year sun up to sun down planning to leave their way of life to their children, all will be lost. Families are already having a hard time of it with the way it stands now! We will be saying good-bye to the smaller family owned farms once and for all because they will sell the equipment and land to pay the taxes.
All of this is not to mention that taxes were paid when the farms were purchased, taxes were paid when the equipment was purchased, each year property taxes are paid on the equipment and land, out buildings and grain bins, tobacco barns and lean-to's, year after year......then when they die it gets one giant tax again and then to be taxed to the next owner.......this is MORE THEN double taxation....!
Farmers do not set their own pricing, the commodity market does. If prices are down, they run risks of not making ends meet and this happens more often then we ever imagined.
If you were to look at Craven County through Congressional Districts 1 and 3 here are the Agriculture Stats:
Dist.1-
19% of all jobs
6.0 BILLION in impact
23% of District GDP
3rd highest district GDP in the state
4th highest in Ag employment
Dist. 3-
20% of jobs
16% of district GDP
6 BILLION in impact
4th highest district GDP in the state
3rd in Ag employment
Craven county as a whole is tied for 5th place in Ag Economic Impact which is NC's #1 industry and 99% of NC farms are family owned!
The "sale" of these lands turning them into residential areas will require water, sewer, electrical (utility hook-ups), more city and county personnel...(law enforcement etc.) to manage these areas as populations increase. As the government manpower and services increase, SO DOES OUR TAXATION!
Farmland is beneficial in so many ways, the obvious food, fiber and forestry it supplies, the lack of government needed to manage it, and the inclusion it provides for our military in practicing maneuvers & flyovers-(the military is NC's 2nd biggest industry!). Governments think more housing, more taxpayers, ....but the truth is, open spaces save taxpayers!
Finally, Food security is important to national security in many ways.....when we (or a portion of the country) is unable to grow food due to natural disasters, most recently droughts, we depend on other parts of the country supplying us and visa-versa. When no-one is able to meet the demand it puts or dependence once again on other countries, you see how well that is working with oil don't you?!
Lastly, Only 210,000 Americans are responsible for EIGHTY PERCENT of the US Ag Production. By the year 2050 the projected population for the planet is 9 BILLION. These 210,000 people are our only lifeline to feeding the generations to come!
Statistical information is available through the NC Farm Bureau
Source: USDA/NASS and Dr. Mike Walden, NCSU
YOU can make a difference by contacting:
Senator Richard Burr
Ph: 202-224-3154; Fax: Fax: (202) 228-2981
217 Russell Senate Office Building,
Washington, DC 20510
Senator Kay Hagan
Ph: 202-224-6342; Fax: 202-228-2563
521 Dirksen Senate Office Building
Washington, DC 20510
Congressman Walter B. Jones (NC District 3)
Ph: 202-225-3415; Fax: 202-225-3286
2333 Rayburn House Office Building
Washington, DC 20515
G.K. Butterfield (NC District 1)
Ph: 202-225-3101; Fax: (202) 225-3354
2305 Rayburn House Office Building
Washington, D.C. 20515
Ask them to pass the FARM BILL!! Remember phone calls are good, written letters have even more impact!
Consider what follows:
If the Farm Bill is not passed this session this is what will happen:
The current death/inheritance tax is 35% on property over $5 million.
If nothing is done, it will increase to 55% on property over $1 million.
For those family farms located next to large metropolitan areas such as Charlotte, Raleigh, and Wilmington the property values are MUCH higher then ours, not even taking into account that 1 piece of machinery can cost anywhere from One hundred thousand to upwards of 1 million and several pieces are needed for the entire operations. Then if you look at the acreage these farms must possess to make a profit, one can easily lose their farm altogether! IF something is not done in this lame duck session, all who have worked so hard, some working 365 days a year sun up to sun down planning to leave their way of life to their children, all will be lost. Families are already having a hard time of it with the way it stands now! We will be saying good-bye to the smaller family owned farms once and for all because they will sell the equipment and land to pay the taxes.
All of this is not to mention that taxes were paid when the farms were purchased, taxes were paid when the equipment was purchased, each year property taxes are paid on the equipment and land, out buildings and grain bins, tobacco barns and lean-to's, year after year......then when they die it gets one giant tax again and then to be taxed to the next owner.......this is MORE THEN double taxation....!
Farmers do not set their own pricing, the commodity market does. If prices are down, they run risks of not making ends meet and this happens more often then we ever imagined.
If you were to look at Craven County through Congressional Districts 1 and 3 here are the Agriculture Stats:
Dist.1-
19% of all jobs
6.0 BILLION in impact
23% of District GDP
3rd highest district GDP in the state
4th highest in Ag employment
Dist. 3-
20% of jobs
16% of district GDP
6 BILLION in impact
4th highest district GDP in the state
3rd in Ag employment
Craven county as a whole is tied for 5th place in Ag Economic Impact which is NC's #1 industry and 99% of NC farms are family owned!
The "sale" of these lands turning them into residential areas will require water, sewer, electrical (utility hook-ups), more city and county personnel...(law enforcement etc.) to manage these areas as populations increase. As the government manpower and services increase, SO DOES OUR TAXATION!
Farmland is beneficial in so many ways, the obvious food, fiber and forestry it supplies, the lack of government needed to manage it, and the inclusion it provides for our military in practicing maneuvers & flyovers-(the military is NC's 2nd biggest industry!). Governments think more housing, more taxpayers, ....but the truth is, open spaces save taxpayers!
Finally, Food security is important to national security in many ways.....when we (or a portion of the country) is unable to grow food due to natural disasters, most recently droughts, we depend on other parts of the country supplying us and visa-versa. When no-one is able to meet the demand it puts or dependence once again on other countries, you see how well that is working with oil don't you?!
Lastly, Only 210,000 Americans are responsible for EIGHTY PERCENT of the US Ag Production. By the year 2050 the projected population for the planet is 9 BILLION. These 210,000 people are our only lifeline to feeding the generations to come!
Statistical information is available through the NC Farm Bureau
Source: USDA/NASS and Dr. Mike Walden, NCSU
YOU can make a difference by contacting:
Senator Richard Burr
Ph: 202-224-3154; Fax: Fax: (202) 228-2981
217 Russell Senate Office Building,
Washington, DC 20510
Senator Kay Hagan
Ph: 202-224-6342; Fax: 202-228-2563
521 Dirksen Senate Office Building
Washington, DC 20510
Congressman Walter B. Jones (NC District 3)
Ph: 202-225-3415; Fax: 202-225-3286
2333 Rayburn House Office Building
Washington, DC 20515
G.K. Butterfield (NC District 1)
Ph: 202-225-3101; Fax: (202) 225-3354
2305 Rayburn House Office Building
Washington, D.C. 20515
Ask them to pass the FARM BILL!! Remember phone calls are good, written letters have even more impact!
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