Payment limitation and attribution.

CFR · 2024-01-01 · US · Title 7

(a) The payment limitation for ERP is determined by the person's or legal entity's average adjusted gross farm income (income from activities related to farming, ranching, or forestry). Specifically, if their average adjusted gross farm income is less than 75 percent of their average adjusted gross income (AGI) for the three taxable years preceding the most immediately preceding complete tax year, a person or legal entity, other than a joint venture or general partnership, cannot receive, directly or indirectly, more than $125,000 in payments for specialty crops and high value crops (1) ERP Phase 1 for program year 2020 and ERP Phase 2 for program year 2020, combined; and (2) ERP Phase 1 for program year 2021 and ERP Phase 2 for program year 2021, combined. (b) If at least 75 percent of the person or legal entity's average AGI is derived from farming, ranching, or forestry related activities and the producer provides the required certification and documentation, as discussed below, the person or legal entity, other than a joint venture or general partnership, is eligible to receive, directly or indirectly, up to: (1) $900,000 for specialty crops and high value crops combined for: (i) ERP Phase 1 for program year 2020 and ERP Phase 2 for program year 2020, combined; and (ii) ERP Phase 1 for program year 2021 and ERP Phase 2 for program year 2021, combined.; and (2) $250,000 for all other crops for: (i) ERP Phase 1 for program year 2020 and ERP Phase 2 for program year 2020, co

official document · source cfr-2024 · id 7:§ 760.1906