Farm Payroll

[JG EA]

I have very little experience with Form 943 clients.

In the information for Form 940 I concluded that a farm sole proprietor with one employee who will only make $2000 for 2006 will not need to file or pay FUTA.

Is this correct?

[Black Bart]

Farm FUTA

I've been kinda phasin' out of the farm tax biz for some time now, but we never paid FUTA on anybody -- just FICA. Farmers aren't totally exempt or anything, but (unless it's changed) you have to pay $20K wages in a quarter for FUTA to catch you and our guys weren't highrollers like that. There was another rule about having several people working for you at once, but I don't remember the details on that part. It never affected us and anyhow you've only got the one hand.

We used to order the IRS pub for it -- the "Farmer's Tax Guide" and it was a fairly thick booklet. I imagine you could do a search at the IRS website, pull it up in PDF, and find the dope on it in the index if you want to go to the trouble.

Anyway, I think you're right that there would not be any FUTA tax due nor any requirement to file a 940 in your case.

[Jiggers]

Farm FUTA

Based on the question, no Farm FUTA.

[JG EA]

Thank you,

Thanks, thought I'd said thanks last night but it disappeared. I think sometimes I think I'm clicking on submit and really not. Anyway, I appreciate the help.

JG