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Repairs, maintenance of buildings and tools, cost of fertilizers and lime, land clearing, preparation for planting, erosion control: Money spent for any of these expenses may be deducted by a ranch.
The cost of the land itself is not a deduction but
The treatment or movement of earth, such as:
Contour furrowing, and
Restoration of soil fertility.
The construction, control, and protection of:
Earthen dams, and
Watercourses, outlets, and ponds.
The eradication of brush.
The planting of windbreaks.
These above are costs that can be used. The land cost is basis and comes into play if you sell.
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