DPAD and Grain Tax Benefit

Domestic Production Activities Deduction (DPAD) is a pass through tax benefit that we are able to offer to our members who sell grain to us that is physically delivered to our locations. Please do not confuse this as credit or as payment, it is a tax deduction, but something that we want to be certain to remind our members about. Also, this is not patronage or in lieu of patronage, DPAD is separate from patronage.

Due to PCA’s fiscal year (June 1 to May 31) not matching a calendar year, the deduction amount is not computed until the following year after delivery.

Example -

Grain that was delivered and ultimately sold to PCA in  calendar year 1 is computed in calendar year 2 and a 1099 is given to the producer showing the credit off of your year 2 taxes.

 **It is currently only credited to bushels that are delivered to our facilities, not direct ship bushels.**

 

For grain delivered in 2017 the deduction was 8.0¢/bu off the 2018 taxes

For grain delivered in 2018 the deduction will be 10.2¢/bu off the 2019 taxes.

 

Please consider this when determining where you market your grain!


PCA is proud to offer the Land O’Lakes Cooperative Farmer Member Health Plan — a cost-friendly healthcare option for eligible farmers.
To be eligible, you must reside in a state (only KS, NE, &MN) where the plan is active and be a(n):
a) Self-employed agricultural co-op member who satisfies $5,000 of business with a PCA; or
b) Employee (W-2, 20+ hours/week) of an eligible agricultural co-op member.

*Missouri or Oklahoma residents are not allowed to participate...yet, we expect this to change next year.

All questions about options and enrollments, should be directed to 844.538.4690 or visit www.gravie.com/coop to learn more!


Cash Bids
Name Delivery Start Cash Price Delivery End Futures Price Futures Change Basis
PCA - Girard            
PCA - Liberal            
PCA - Waco            
Quotes retrieved on December 12, 2019, 11:51:19 PM CST
All grain prices are subject to change at any time.
Cash bids are based on 10-minute delayed futures prices, unless otherwise noted.


Futures Quotes
Quotes retrieved on December 12, 2019, 11:51:19 PM CST

Local Weather
Girard, Kansas (66743)

Current Conditions Cloudy
Temperature 46°F
Dew Point 25°F
Pressure 30.05 in. Hg
Humidity 43%
Wind 11 mph
From South


Forecast


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