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MANAGEMENT

Read how to improve your supervision of employees, financial matters, identification and record keeping. Learn more about land use issues that affect your operation.

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There once was a time when you could, and did, rely on another person’s word when conducting business. Unfortunately, “the gentlemen’s agreement” is now a relic of the past. The time of doing business this way is over.

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It may seem like a trivial matter, but to the IRS, commingling of funds suggests your ranch or farm is a hobby rather than a business. What exactly is “commingling?” The usual situation is depositing checks made payable to your business into your personal bank account, or using your business account for personal expenditures.

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Winter can pose a number of specific challenges to producers who raise cattle, but proper management can help lessen the impact of cold weather.

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As we begin a new year, we always see a lot of predictions for the upcoming year, whether it be for the most popular movies, the most glamorous people, the hottest cars, etc. While I sure can't offer any insight into those important pop-culture topics, I could offer my best guesses for what we'll see in the cattle market this year.

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1. Approach financial tough times head-on
With ongoing struggles in our country’s economy, the livestock industry faces the continuing threat of tough times ahead. Now is the time to take charge of your operation’s financial success and learn how to thrive in today’s harsh economic climate. For more information on taking charge of your organization’s financial future in our current economy, go to http://www.extension.iastate.edu/DisasterRecovery/livestockconcerns.htm

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Because state governments are hard-pressed for revenue, state tax authorities are getting more aggressive in audits, and this has an impact on the horse and ranching industries. In a new case, the Minnesota Tax Court ruled against the taxpayers who operated a horse and cattle ranch [Molnar v. Commissioner of Revenue, Docket No. 8039-R].

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