MN: Young farmers score victory at Legislature

A first-of-its-kind newly signed budget bill is a win-win for the future of farming in Minnesota. And it's thanks in part to Andrew Barsness, a 27-year-old grain farmer from Hoffman. Through the bill, landowners receive a state income tax credit when they sell land or rent land or agricultural assets to a beginning farmer, which is someone who has been farming for fewer than 10 years, said Barsness. According to the Young Farmer's Coalition, which was formed in 2016, the credit equals 5 percent of the sale price, 10 percent of the cash rent or 15 percent for a cash share agreement. In turn, the beginning farmer must take a farm management course to qualify for the tax incentive and would be eligible for a tax credit covering the full cost of the training. The tax credit will be available on a first-come, first-served basis with maximum statewide limit of $5 million in tax year 2018 and $6 million per year after that. Barsness said the bill, signed by Gov. Mark Dayton at the end of May, helps create an incentive to sell land. Land access is an issue for beginning farmers.