Whether you have a large farm that grows crops or produces livestock, or a hobby farm run by you and your family, it’s important to find the right insurance for your particular property. After all, there’s a lot at stake – produce, livestock, equipment and machinery, farm vehicles and buildings, your home and contents and so on.
Farm Insurance with Phoenix Insurance Brokers
Phoenix Insurance Brokers has been a familiar face in WA’s rural and more remote regions for more than two decades, so we understand what’s important when it comes to protecting your farm. Like you, we know working on the land brings risks – bushfires, machinery breakdowns, illness or accidents, or even a claim from someone injured on your property.
Farm insurance can protect your farm, your produce and livestock, as well as you, your family and the people who pass through your property. It can be tailored to cover your home and farm buildings, vehicles, equipment and more. It can also safeguard you against theft and loss of income.
Farm Insurance FAQs
Farm insurance can include:
- Home property
- Farm property
- Public and products liability
- Accident and sickness cover
- Machinery breakdown
All business owners are allowed to deduct their business expenses from their taxable income, and since farms are also business entities, they are no exception to this general rule. All the costs of operating your for-profit farm are deductible on your income tax return.
A hobby farm is generally a farm that doesn’t rely on as a steady source of income. People who own and run hobby farms often have an off-farm job or are living off their pension.
Hobby farming has become increasingly popular as a form of relaxation on the weekends and a means of additional income. Substantial tax benefits can be obtained when a hobby farm is considered to be a “business” for tax purposes.
The government has indicated that it is supportive of small businesses including businesses of primary production. It has and is in the process of making available special tax benefits for such taxpayers. It would therefore be advantageous for “hobby farmers” to investigate whether their “farm” could be considered to be a business of primary production and take advantage of the tax benefits available.
Primary production activities include:
- Breeding and maintenance of animals or poultry to sell them such as beef or poultry farming;
- Dairy or wool farming;
- Planting and harvesting crops;
- Fishing operations;
- Forestry operations;
- Horticultural activities.