June 2007
Country Council by: Robert Moore
OF all the assets that a farmer might own, land it typically the asset worth the most money and the asset most closely tied to the heritage of the family farm. Therefore, the most challenging aspect of a farmer’s estate plan, business plan and succession plan is often dealing with how the land will be transferred to the next generation.
To assist in these plans, farmers should consider including limited liability corporations as land-holding entitles into their plans. Placing land into LLCs can reduce estate taxes, reduce liability and help ensure that the farmland stays in the family.
Placing land into LLCs can reduce estate taxes in two ways: through gifting and through discounting…Download full article here.
