What are the tax benefits of raising alpacas?
There are wonderful tax benefits associated with raising alpacas. For 2007, Section 179 from the IRS has raised the accelerated depreciation for Federal tax to $125,000! This could mean a huge return for some of you which can be used to buy MORE alpacas! (grin) Or better yet, pay off animals you’ve financed, and put your income to other uses. Some allowable deductions include: Feed, hired help, vehicle expenses and/or mileage for farm use, utility expenses, building/maintenance costs, fencing, cost of the animals, paid for outside breedings, shearing, vet fees, agisting of your alpacas on someone else’s farm, travel expenses related to your alpacas, books, Veterinary services, accounting fees, just to name a few. Everyone’s income and living situation is different. Speaking with a tax advisor who has a background in farming tax laws is the best way to see how owning alpacas can be a wonderful source of income for you. Some people suggest hiring any C.P.A or tax advisor, thinking all th
