Tax Considerations for the Establishment of Agroforestry Practices (2010)

Abstract

The five practices of agroforestry: alley cropping, silvopasture, riparian forest buffers, forest farming and windbreaks, offer a landowner opportunites for long-term income from areas that may not be currently utilized. However, federal tax incentives may provide the greatest benefit to so landowners. Accordingly, agroforestry tax advantages can also be derived from four areas: reforestation, business investment, conservation tax laws, and long-term capital gains. These four areas of the Internal Revenue Code (IRC) are reviewed in this document.