Farms Hit Hard by Drought
by William F. West - The Herald-Sun, Durham, N.C., October 21, 2007
Devastating drought conditions have so taxed produce farmer Tim Moore that he doesn't know what he's going to do next.
All Moore said he could say for sure is that he intended to keep his herd of beef cattle as long as possible and planned to sell firewood this winter.
"And if we don't hurry up and get some rain, I ain't gonna have nothing for next year because I ain't got no water left," Moore said, referring to his depleted pond supply.
Moore said he stopped irrigating his tomatoes a couple weeks ago and had to begin using his house well to supply water for his 50 or so head of cattle.
Moore and his family had previously operated a fruit and vegetable stand alongside Business U.S. 58 in downtown Clarksville, Va.
"I'm not going to be able to plant strawberries," Moore said. "I was supposed to have planted around the 20th-25th of September."
Triple-digit summer temperatures and the scarcity of showers became a double whammy for farmers, particularly those whose roots run deep in Granville County soil. Read more on MyCattle.com.
IRS extends replacement period for livestock sold due to drought
Producers affected by exceptional, extreme or severe drought conditions have been granted additional time to purchase replacements for livestock they were forced to sell.
When drought conditions result in an area being declared eligible for assistance by the federal government, taxpayers ordinarily have four years to replace—without recognizing any capital gain—the livestock that they were forced to sell because of the drought.
However, because of the intense, prolonged drought in many areas of the United States, the replacement period is being extended. IRS Notice 2007-80 explains the circumstances under which the four-year replacement period is extended and contains a list of counties that experienced exceptional, extreme or severe drought conditions during the 12-month period ending Aug. 31, 2007. Read more on the TSCRA Web site.
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