Skip to main content

IRS - Farming and fishing income

Special tax rules apply to farmers and fishermen, allowing them to avoid estimated tax payments under certain conditions.

Nicole avatar
Written by Nicole
Updated over 4 months ago

Filing & Payment Deadlines

  • If at least two-thirds of your total gross income comes from farming or fishing in the current or previous tax year, you may avoid estimated tax payments by:

    • Filing your return and paying the entire tax due by March 1 (or the next business day if March 1 falls on a weekend/holiday).

  • If you don’t file by March 1, you can:

    • Make a single estimated tax payment by January 15 to avoid an estimated tax penalty.

📌 If these special rules don’t apply, you may need to make quarterly estimated tax payments.

Farming Income & Reporting

  • Report farming income & expenses on Schedule F (Form 1040), Profit or Loss From Farming.

  • If your net earnings from farming are $400 or more, use Schedule SE (Form 1040) to calculate self-employment tax.

Fishing Income & Reporting

  • Report fishing income & expenses on Schedule C (Form 1040), Profit or Loss From Business (Sole Proprietorship).

  • If your net earnings from fishing are $400 or more, use Schedule SE (Form 1040) to calculate self-employment tax.

Did this answer your question?