Split-Interest Purchases of Land Clarified; Another Way to Acquire Additional Farmland?

Abstract

<p>In recent years, split-interest purchases of land and other assets have been known principally as a study in trying to stay ahead of federal limitations imposed by Congress.<strong>1</strong> As an example, changes in the handling of depreciation have discouraged so-called split-interest purchases.<strong>2 </strong>However, a 2008 letter ruling has clarified some aspects of depreciation for property interests acquired in a split-interest purchase and opened up some areas of possible advantageous use.<strong>3</strong></p>