Depreciating Farm Drainage Tile

Date
2012-01-20
Authors
Harl, Neil
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Iowa State University Digital Repository
Abstract

Rapidly rising farmland values in recent years1 have brought an intense focus to the allocation of the purchase price in the event of a sale or taxable exchange as among the land itself, tile lines, fences and other improvements. It is clear that an appropriate allocation can (and should) be made to the depreciable (and non-depreciable) components of the transaction, based on relative fair market values.2

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