Accounting Changes Could Cut Incentives for Using Farms as Tax Shelters
11th ANNIVERSARY SALE
ALL DAY
FRIDAY, MARCH 2, 1973
9:30 A.M.
on North Maple Avenue, Leola, Vz mile North of Route
23, watch for sale sign
Large variety of tractor and farm machinery, horse
drawn implements, new gates, new hardware, tools,
etc., eta
Truck load of citrus fruit direct from Florida.
We sell on commission.
DOOR PRIZES FREE COFFEE
15 FREE MEAL TICKETS BEFORE SALE TIME.
Frank & Paul Snyder SALE BY
Robert Martin, Aucts. DAVID H. GOOD
Next Sale Friday, March 16,1973
Not responsible for accidents.
PUBLIC AUCTION
Registered and High Grade Holsteins
Farm Equipment - Household Goods
WEDNESDAY. FEBRUARY 28. 71
Will be sold at Public Auction on the premises located
between Schaefferstown and Cornwall, along Route 419
at Buffalo Springs, next to Keller Bros. Ford, the follow
ing to wit:
54 Head of Registered and High Grade
HOLSTEIN DAIRY CATTLE
4 REGISTERED, BALANCE HIGH GRADE
34 COWS IN ALL STAGES OF LACTATION
5 BRED HEIFERS DUE MAY OR JUNE
6 YEARLING HEIFERS 5 HEIFERS Under 1 Year
3 BULLS, 4 to 5 months old 1 Service Age Bull
FORD 5000 DIESEL w/Frontend Weight
FORD 3000 with Live PTO Quick Wheel Change and
Wheel Weights; Farmall Super A, needs engine repair with
Cultivator and Plow; New Holland No. 717 1-Row Har
vester; International No. 450 3-Bottom 16-In. Plow, 3-Point
with Automatic Reset; Freeman Model 4005 Industrial
Loader; Ford Flex-a. Disc on Transport with 32-Disc; Hawk
Bilt 145-Bu. Tank Spreader; Ford Baler; Mayrath Eleva
tor; 2 Flatbed Wagons with False End Gates; Ford PTO
Side Rake; Ford 3-Point Mower with 7-Foot Bar; PTO
Seeder: International Hay Conditioner; Flail Chopper;
John Deere No. 246 Corn Planter with Insecticide Appli.
cators; Farmec Grain Bin on Chassis; Kools PTO Trough
Blower with Pipe; Wood Bros. Corn Picker; John Deere
Spring Harrow; 3-Section Spike Harrow; Heat Houser for
5000; E-zee-Flow Fertilizer Drill; 3-Point Cultivator; 2-Row
Transplanter; 11-Ft. Cultipacker.
Agway Breeding Chart Wheel
Three Surge Milker Units; 2 Milker Pumps; Stainless
Steel Tubs; 2 Stainless Steel Milk Pails; 2 Stainless Steel
Strainers; 220-Volt Electric Heater; 60-Gal. Hot Water
Heater; 30'Milk Cans; Milk Stool.
LINCOLN WELDER; REMINGTON CHAIN SAW;
3 Bunk Troughs; Pasture Hay Racks; 900x20 Dual Tractor
Chains; Cattle Catch Gate; Jig Saw; Grindstone; High
Pressure Washer; Pick-up Cattle Racks; 2 Mineral Feed
ers; 4000 Tobacco Laths; Work Bench; Bull Dozer Fence
Charger; Galvanized Water Trough; Water Tank; 2 Iron
Hog Troughs; Dehorner; Wire Roller; Air Tank; Unloading
Winch; Log Chains; Fence Stretcher; Anvil; Water Bowls;
Digging iron; Battery Charger-Starter; 1 Other Battery
Charger; Top Linlc; Heavy Duty Cord; Tool Box; Tools;
60 Wooden Apple Crates; 100 Half-Bushel Baskets; 15
Berry Crates.
OLD IRON WHEEL ENGINE WAGON; Wooden Buffer
Churn; Rope Bed; Two 6-Gal. Crocks; Other Crocks; Wood
Chest; 2 Stirrers; Sausage Stuffer; Chest of Drawers; Roll
Top Desk without top; Meat Grinder; Electric Meat Sliccr;
Kitchen Cabinet; Automatic Gas Space Heater; and many
other items too numerous to mention.
Sale time 10:00 AM. We plan to start selling Cows at
approximately 1:00 o’clock. Sale by
PHONE 717-949-3363 NEWMANSTOWN R.l, PA.
John E. and -Paul E. Martin, Auctioneers
717-733-3511 733-3305
Dale Hoover, Cattle Information 717-867-248#
Zimmerman and Hoover, Clerks
Lunch Available Plan New To Attend This Sale/
AT 10:00 AM.
ELMER M. MARTIN
Noting the possibility that
liberal accounting rules allowed
farmers under existing law could
be revoked in whole or in part, a
report by the U.S. Department of
Agriculture says such a change
could increase tax problems for
farmers in several ways.
From another standpoint,
however, such change would give
i Public Sale
HUM MACHINERY S FEED
Location: 7 miles Soatheast of Oxford off the Ox
ford New London Road. 1 mile Northwest of Route
496 on the Harvey Chase Farm.
I THURSDAY, MAR. 1, 1973
John Deere 2520 fully equipped; Ford Industrial
2,000 with loader, dirt scoop & fork; New Holland 273
baler with thrower (1 yr.); 3 hay wagons with racks;
1 J.D. 1065 A with 18 ft. bed; 1 J.D. 1064 wagon with
14 ft. bed with dump & racks; 1 Grove 16 ft. wagon
with racks; J.D. 640 hay rake; Little Giant 40 ft. ele
vator; New Idea 195 bu. manure spreader (1 yr.);
J.D. 494 A 4 row cornplanter with dry fertilizer, IH C
12 ft. disc (transport); Brillion 13 ft. cultipacker? 1H C
#lO 13 disc grain drill; J.D. 7 ft. scraper blade (1
yr.); 2 16-ft. hay racks. Other items not mentioned.
All above equipment in very good shape.
20 x 60 silo full of corn silage, to be sold by the
foot; 10 ft. corn silage in 18 x 60. Unloader in both
silos can be used to empty.
Approx. 25 ton straw; approx. 30 ton second cut
ting (no rain) alfalfa; 9 open heifers; 7 Reg. 5 ready
to breed; 2 Kingpin, 1 Astronaut, 3 Marcus Skip, 1
Allen Dairy Major, 2 grades by Marcus Skip.
KREIDER & DILLER, Auctioneers
RONALD D. WEST SALES
S. C. HANSEN INC.
“USED” EQUIPMENT
DISPERSAL
On Saturday, March 3rd we will sell a quantity of our
used Merchandise to make room for our Spring Trade-
Ins. Located at 180 Ithaca Road, Horseheads, New
York. Beginning at 10:00 A.M.
Approximately 20 Tractors, 12 Balers, 10 Forage
Harvesters, Blowers, Combines, Gram Drills, 10' and
14’ Disc Harrows, Bnllion 16’ Harrow Hay Bines, (self
propelled), Wmdrowers (Case and Owattonna),
Mowers, 12 Plows (Mounted and Semi-Mounted).
Many Miscellaneous Items,
There is a large quantity of Merchandise here, too
numerous to mentio/i. As we are doing business
everyday some machines may be gone before the Sale
and some may be added by the sale.
Your inspection is invited at anytime prior to the sale
to inspect our used equipment and also our 1973
Merchandise
Don’t miss this Sale - Many quality pieces of
Machinery that will be sold for the High Dollar.
S. C. HANSEN, owners
RONALD D. WEST, SALE MANAGER
ROBERT M. SHAYLOR, AUCTIONEER
ROBERT SLINGERLAND, CLERK
To be assured of a really Top Auction or if you would
' like to sell your entire Personal Property outright
contact the outstanding Auction and Cattle Concern m
the Southern Tier, Ronald D. West Sales, Ronald D.
West, R.D. 1, Mansfield, Penna. Phone: 717-724-1989,
Robert M. Shaylor, Elmira St., Troy, Penna. Phone: 717-
297-3278 or Francis Courtright, 4275 Fairway Lane,
Horseheads, New York, Phone: 607-739-2522.
LUNCH WILL BE SERVED
less incentives to nonfarm in
vestors’ using agriculture in
vestments as tax shelters
The report by USDA’s
Economic Research Service
(ERS) explains the cash ac
counting system permitted
farmers for computing taxes
Other businesses that produce or
sell goods must keep inventory
OF
12:00 Noon
Terms by
JAMES H. HERR
Lancaster Farming, Saturday, February 24,1973
records for tax purposes, which
forces use of the more detailed
accrual bookkeeping method
Cash accounting permits
farmers simplified bookkeeping
and allows them to ignore year
end inventories of crops, cattle,
feed, and other items. Farmers
are also allowed to deduct certain
investments in farm assets in the
year incurred, for example,
development costs for fruit and
nut growers and some livestock
held for breeding In most other
businesses, expenditures of this
type would be capitalized rather
than deducted as business ex
penses Also when farmers sell
these capital assets they are
taxed at capital gam rates, which
are lower than regular income
tax rates
The special provisions open to
farmer attract nonfarm in
vestors, usually those in high
income tax brackets By taking
permissible farm in vestment
deductions, and other
cash accounting ad
vantages, it is possible
to show farm losses for
tax purposes which are
not true economic
losses These “tax losses” are
then used to reduce the investor’s
total taxable income
Changing to the accrual
method from cash accounting
would mean a larger tax the first
year for most farmers Taxes
would have to be paid on in
ventories of unsold crops or
.livestock forwhichdeductions for
their production had been made
in previous years
A copy of “Accounting Methods
Allowed Farmers Tax In
centives and Consequences,”
ERS 505, is available free on
postcard (please include zipcode)
or telephone (447-7255) requist
from the Division of Information,
Office of Management Services,
U S Department of Agriculture,
Washington, D C 20250
Poultry Educational
Meeting March 1
The second poultry education
meeting planned by Lancaster
County poultrymen and the
Agriculture Extension Service
will be held at 7 30 p.m Thur
sday, March 1, at the Farm and
Home Center
Poultry House Ventilation will
be discussed by Joseph McCurdy,
Agricultural Engineer at Penn
State University. The discussion
will include many factors in
volved in moving air through the
house and maintaining proper
temperatures
Dr Glenn Dressier and Dr.
Floyd Hicks, professors of
Poultry Science at Penn State,
will present Poultry Waste
Management Tins topic deals
with the important area of
handling poultry manure within
theenviro m m e n t a 1
qualifications There will be a
model of the “Sloping Plastic
Floor” house on display
33