Year-end records checklist for ranchers (not tax advice)
By the RanchOS Global editorial team · Updated
Read the transcript
Close the ranch year in five piles: sales (receipts, settlement sheets, invoices); expenses (feed, vet, fuel, repairs, labor); breeding stock bought (price and date for each animal); head count (inventory on December 31, by class); and herd records (calvings, weights, treatments). Farm income and expenses go on Schedule F; ask your tax professional how your cattle sales should be reported. Not tax advice.
In short: sort the year into five piles before you sit down with your accountant: sales, expenses, breeding stock bought, a December 31 head count, and herd records. This is not tax advice; it is the paperwork your tax professional will ask for.
The five piles
- Sales: sale barn settlement sheets, private treaty receipts, invoices, and semen or embryo sales.
- Expenses: feed and hay, vet and medicine, fuel, repairs, labor, breed association fees, marketing.
- Breeding stock bought: the price and date for each bull or cow you purchased.
- Head count: an inventory on December 31, by class (cows, bulls, heifers, steers, calves).
- Herd records: calvings, weights and treatments. They explain the numbers and back up your inventory.
Where it goes
In the United States, farm income and expenses are reported on Schedule F (Form 1040), Profit or Loss From Farming. How individual cattle sales are reported depends on the animals and how long you held them, so ask your tax professional.
Make next year easier
Record sales and expenses as they happen, not in December. In RanchOS, income and expenses roll into a live P&L that can be exported as a PDF for your accountant.
Not tax advice. Talk to a tax professional about your situation.
Common questions
What records should a rancher gather at the end of the year?
Sales records (receipts, settlement sheets, invoices), expenses (feed, vet, fuel, repairs, labor), the price and date of breeding stock bought, an inventory count on December 31 by class, and herd records such as calvings, weights and treatments.
Which tax form do farm and ranch income and expenses go on?
In the United States, farm income and expenses are reported on Schedule F (Form 1040), Profit or Loss From Farming. How specific cattle sales are reported depends on the animals and how long you held them, so ask your tax professional.